In raids against Chinese individuals, web of bank employees, chartered accounts under scanner
New Delhi, Aug 12: 20 premises of Chinese entities were searched in Delhi, Gurugram and Ghaziabad by the Income Tax department.
Incriminating documents relating to hawala transactions and money laundering were found. A Chinese individual with a fake passport allegedly representing multiple Chinese firms in India was held.
The probe revealed that a subsidiary of a Chinese company had taken over Rs 1,000 crore bogus advances from shell entities for opening business and retail showrooms in India. A few Chinese individuals and their associates in India were running a money laundering racket worth Rs 1,000 crore.
The IT department also found that over 40 bank accounts had been created through dummy entities in which the money was credited. At the behest of Chinese individuals, over 40 bank accounts were created in various dummy entities, entering into credits of over Rs 1,000 crore, the IT department said.
During the searches, the role of several chartered accountants and bank employees too came to light. The CBDT, that frames policy for the tax department, said the searches were launched based on credible inputs that a few Chinese individuals and their Indian associates were involved in money laundering and hawala transactions through a series of shell entities.
Some bank officials were also raided, it said.