New Delhi: An investigation by the Income Tax Department into the premises owned by the well-known MGM Group has revealed tax evasion to the tune of Rs 400 crore.
According to a press release issued by the Ministry of Finance, on June 15, the Income Tax Department conducted inspections at various business premises of a group of leading companies in Tamil Nadu. The tests were conducted at more than 40 locations, including Chennai, Villupuram, Pondicherry and Coimbatore.
During the raid, various forged documents and digital sources were seized. It was also found that Rs 400 crore had been evaded by registering fake purchase receipts in the books of account.
It was found from the seized documents that the goods were paid by check to the distributor and then received in cash and converted into unaccounted investments. The group was also found to be involved in indirect operations from India in international chain hotels.
Rs 3 crore in unaccounted cash and Rs. Gold jewelery worth Rs 2.5 crore was also seized.