BHUBANESWAR: Seizure of over Rs 300 crore cash by the Income Tax (I-T) department from a string of alcohol manufacturing companies in the last three days - at least Rs 200 crore from Balangir district alone - could open a Pandora’s Box.
With Prime Minister Narendra Modi taking to social media platform X on the day on the matter, source said, the I-T raids can have wider political ramifications.
The searches spanned across at least four states - Odisha’s western belt, Jharkhand, Chhattisgarh and West Bengal. However, the seizure of maximum amount of cash of over Rs 200 crore was made from Balangir district which left even the I-T officials perplexed. Stacks of cash, in iron chests, were found from liquor manufacturing units, mostly stored in thatched houses.
Most of the cash seizure is linked to a single business group which has its properties in at least two states. The I-T operations are expected to continue for three more days.
The companies where the searches are currently being carried out include the Boudh Distillery Private Ltd (BDPL) Group, I-T officials said. The group has several subsidiaries and sources said searches are being carried out at its Boudh Distillery Private Limited and Kishore Prasad Bijay Prasad Beverages Private Limited.
“We carried out searches at 30 to 34 companies most of which are distillery units and many of them are interlinked,” said the I-T sources. A maximum amount of cash was seized from a beverage company of the Balangir district involved in the marketing and sales of IMFL brands. The I-T officials were still digging out huge cash at Sundargarh, Boudh, Sambalpur and Kalahandi besides Balangir.
Rajya Sabha MP from a neighbouring state reportedly has links with one of the firms as his family members are alleged to be part of its management.
Despite already making seizure of such a huge volume of cash, sources maintained the amount of illegal cash could further go up in the coming days.
Highly placed sources said, that at least 17 to 18 successful searches over alleged tax evasion in Odisha in the last two years set the momentum for the I-T Department to go after the alcohol manufacturing companies evading taxes. Even as I-T searches continue, the Enforcement Directorate is keeping a close eye on all the developments.