HYDERABAD: The Income Tax Department, which unearthed unaccounted income estimated to be around Rs 550 crore and seized unexplained cash amounting to Rs 142.87 crore during last week’s raids on the offices of Hetero Drugs and its promoters, found the currency notes stuffed in carton boxes, labelled medicines, and also in huge almirahs at several flats.
The department carried out search operations at about 50 locations in six states, including Telangana and Andhra Pradesh, on Wednesday, October 6, and Thursday, October 7. According to sources, the carton boxes and almirahs with huge amounts of cash were also seized from the premises of the pharma giant and its associates.
It was alleged that Hetero, which produced two important generic drugs for treating Covid-19 patients during the pandemic, came under the scanner of the I-T Department as it amassed wealth disproportionate to the known sources of income. It was also learnt that the funds were diverted and invested in real estate projects.
During the searches, issues relating to discrepancies in purchases made from bogus and non-existent entities, and artificial inflation of certain heads of expenditure were also detected. Further, evidence of on-money payment for purchase of lands was also found. Various other legal issues, including personal expenses being shown in the company’s name and land purchased below government registration value by related parties, were also identified. Several bank lockers were found, of which 16 were being operated.
During the searches, hideouts were identified where a second set of books of accounts and cash were found. Incriminating evidence in the form of digital media, pen drives, documents have also been found and seized.
Disproportionate wealth
Hetero Drugs, which produced two important generic drugs for treating Covid-19 patients, came under the I-T dept scanner as it amassed wealth disproportionate to the known sources of income.