Realty firm admits undisclosed income of Rs 53 cr

New Delhi, Nov 2 (UNI) A business group engaged in real estate and infrastructure development, whose 24 premises were raided across several towns in the country by income tax officials on October 24, has admitted of undisclosed income of Rs 53 crore.

The raid was carriedout in Delhi, Ghaziabad, Gurgaon, Meerut, Saharanpur, Pantnagar and Jaipur and revealed that the business group was engaged in procuring bogus bills from its suppliers and thus inflating its expenses and reporting reduced profits, leading to tax evasion, a Finance Ministry statement said this evening. The main suppliers of bogus bills were operating from Ghaziabad and through their agents in Delhi.

Seizure of a large number of incriminating documents and computers revealed ''bogus purchases, unaccounted cash transactions in real estate projects, and unaccounted transactions by its associates and suppliers,'' the statement said. It was also found that the group has made large-scale investments in real estate, land purchase and other transactions and unaccounted money has been channelised in these transactions.

The Ministry said the group was also found to have floated a large number of subsidiary and front companies for cross holdings and transactions to facilitate introduction of unaccounted money.

Cash of Rs 1.75 crore was seized during searches, the statement added.

UNI