HYDERABAD: Income Tax officials conducted searches on Tuesday at prominent restaurant groups, including Pista House and Shadab Hotel (also known as Shah Ghouse), as well as at the residences of the chairman and directors of the Mehfil restaurant chain in Hyderabad.
According to sources, the official teams raided approximately 15 locations. These included the Rajendernagar residence of Mohammed Abdul Mazeed, as well as the residences of its directors within the city. Sources indicated that Pista House, which operates throughout Hyderabad and in other Indian cities, also conducts business in other countries.
The department reportedly suspects significant tax evasion over the past several years. The agency is examining online and physical sales records and franchise operation details.
Simultaneously, the agency conducted searches at the residential premises of the management of two other biryani restaurants — Mehfil and Shah Ghouse — in areas including Tolichowki and Shah Ali Banda.
These actions are in connection with alleged tax evasion involving discrepancies between filed returns and actual income figures reflected in physical records.
Sources stated that the agency suspects substantial discrepancies between the filed Income Tax returns and the log records that the managements are alleged to have concealed.
It is reported that these three prominent restaurants have committed tax evasion amounting to several crores, based on the differences between their actual sales and filed returns.
The I-T officials, who continued the searches until late Tuesday, are likely to carry on the operations on Wednesday as well.