The Income-Tax Department Friday conducted searches at multiple locations in Tamil Nadu on suspicion of alleged illegal cash being pumped in to lure voters in the poll-bound state and seized cash of about Rs 15 crore, officials said.
They said a total of 18 locations in Chennai, Namakkal and Tirunelveli are being raided since early morning hours.
In the first instance, tax sleuths searched the premises of a contractor firm PSK Engineering Construction Company on charges of routing and possession of alleged "unaccounted cash".
Three premises in Chennai and four linked to the company in Namakkal are being raided, they said.
"Unaccounted cash of Rs 14.54 crore, with Rs 13.80 crore from four premises belonging to the construction company, has been seized," a senior official said.
Incriminating documents and accounts with details of generation of unaccounted money by inflation of expenditure, payments made to influential persons and also unaccounted capital introduced into businesses were also seized, the official said.
In the second case, the Chennai investigation wing of the department searched a group of cash handlers and financiers against whom the sleuths obtained information that they are allegedly "mobilising cash for possible use in elections." The locations linked to two individuals identified as Akash Baskaran and Sujai Reddy were also searched, they said.
"Rs 18 lakh has been seized from the premises linked to Reddy," the official said.
Documents indicating investment of "unaccounted" funds of Rs 16 crore by Reddy in a Malaysian company have also been seized, the official added.
A total cash of Rs 14.72 crore has been seized till now in both the searches.
The taxman searched 10 premises in Chennai and one in Tirunelveli is in connection with the second case.
Polls in the 39 seats of Tamil Nadu and the lone seat in Puducherry would be held on April 18, the second phase of the Lok Sabha elections.
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)
By accepting cookies, you agree to the storing of cookies on your device to enhance site navigation, analyze site usage, and assist in our marketing efforts.
EXPLAINED! Anil Singhvi on his campaign to protect investors and save their hard-earned money; reveals market strategy going forward
Good news amid coronavirus! India to emerge as fastest growing G20 economy - Here is how
Cost of coronavirus lockdown: Covid 19 fight will come at high economic cost, beat 2008 crisis, say analysts
Is Indian economy better prepared to deal with COVID-19 than it was during 2008 Global Financial Crisis?
What do RBI announcements mean for common man, Indian economy amid coronavirus lockdown