NEW DELHI: The Income Tax Department on Friday conducted raids on Kolkata-based Lux Industries following allegations of tax evasion of amount exceeding Rs 200 crore. Following this, the shares of the company declined over 3% on Friday to close at Rs 1471.25 apiece on the BSE.
An I-T Department source said search operations were underway in multiple cities, including Kolkata, at premises linked to the company. The search was conducted at the offices and residences of top officials of the company. The innerwear brand confirmed the raids and said the survey is being conducted at their premises and the company is extending its full cooperation to the authorities.
“We would like to further inform that as the survey is yet to be concluded we are unable to make assessment of its impact. Once the survey concludes, the Company will update the Stock Exchanges, in case there is any material impact resulting from the above survey,” the company said in a regulatory filing.
Lux Industries is one of the country’s leading underwear manufacturing companies.
It is owned by the prominent Todi family of Kolkata and its current Chairman is Ashok Kumar Todi. The promoters hold a little over 74% stake in the company. In the April-June quarter, Lux Industry’s net profit fell 57% YoY to `44 crore while its revenue grew by 23% YoY to Rs 715 crore during the period.
Company’s share falls about 3%
Shares of the company fell over 3% on Friday to close at Rs 1471.25 apiece on the BSE. An I-T Department source said search operations were underway in multiple cities at premises linked to the company. Searches were conducted at the offices and residences of top officials