The Finance Ministry said on Monday that the recent raid on the home of perfume trader Peeyush Jain in Kanpur, from which more than Rs 177 cr in unaccounted for cash was unearthed, was the “largest cash seizure ever. “by a law enforcement agency.
The Dec. 26 raid, which resulted in Jain’s arrest, included searches of Jain’s residential / factory premises in Kannauj, where around Rs 17 crore in cash was collected, the ministry said in a statement.
Further research is underway at Jain’s residential / factory premises in Kannauj.
The Ahmedabad unit of the General Intelligence Directorate of GST (DGGI) on December 22 launched search operations in Kanpur at the premises of the factory of the manufacturers of branded products Shikhar Pan Masala and tobacco, the office / Godowns of M / s Ganpati Road Carriers, Kanpur, and the residential premises / factories of M / s Odochem Industries, suppliers of perfume compounds, in Kanpur and Kannauj.
After intercepting 4 trucks operated by M / s Ganpati Road Carriers, carrying pan masala and tobacco of the said brand cleared without payment of GST, officers compared the actual stock available in the factory with the stock recorded in the books. and found a shortage of raw materials. and finished products.
This further corroborated that the manufacturer was engaged in clandestine removal of goods with the assistance of a carrier who issued false invoices to manage the transportation of said goods.
Officers also seized over 200 of these bogus invoices. The manufacturers of Shikhar brand pan masala / tobacco products admitted and deposited an amount of Rs 3.09 crore as tax liability.
The ministry in a statement said that the search procedure that was initiated at the residential premises of M / s Odochem Industries partners located at 143, Anadpuri, Kanpur on December 22 has since been concluded.
âThe total amount of unrecorded cash collected and seized at these premises is Rs 177.45 crore. This is the largest cash seizure ever by CBIC officials. premises are under scrutiny, “he added.
In addition, the search is ongoing at the residential premises / factory of M / s Odochem Industries in Kannauj. So far, DGGI officers have been able to recover around Rs 17 crore in cash, which is currently being counted by SBI officials.
In addition, the recovery of around 23 kg of gold and huge unaccounted for raw materials used in the manufacture of perfume compounds, including more than 600 kg of sandalwood oil hidden in underground storage, having a market value of around Rs 6 crore, was carried out.
Jain’s statement was recorded by GST officers on December 25 in which he accepted that the money collected from the residential premises was related to the sale of goods without payment of the GST.
âIn view of the overwhelming evidence available on the record indicating a large-scale evasion of the GST by M / s Odochem Industries, Kannauj, Shri Peeyush Jain was arrested on 12/26/2021 for committing offenses under section 132 of the CGST law and was produced in the competent court on December 27, âthe ministry said, adding that the evidence gathered during the searches carried out in the last 5 days was the subject of a thorough investigation to unravel the tax evasion .
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