The The CBDT on Saturday claimed to have detected “fictitious transactions” of Rs 2,200 crore after the Income Tax Department carried out multi-city raids against the Dainik Bhaskar media group early this week. It said the searches that were launched on July 22 in nine cities like Bhopal, Indore, Delhi, Ahmedabad, Noida and some others are “continuing and further investigations are in progress. The voluminous material found during the search operations is being examined,” the CBDT statement issued here said. The Central Board of Direct Taxes (CBDT) frames policy for the IT Department.
While the statement did not name the group, official sources identified it to be the Bhopal headquartered Dainik Bhaskar group which is involved in various business sectors like media, power, textiles and real estate with a group turnover of more than Rs 6,000 crore per annum. “Cyclical trading and transfer of funds among group companies engaged in unrelated businesses to the tune of Rs 2,200 crore has been found. “The enquiries have confirmed that these have been fictitious transactions without any actual movement or delivery of goods. The tax effect and violation of other laws are being examined,” the statement alleged. The media group, on the day of the raids, had posted a message on its website saying the government was scared of its true journalism. From bodies in river Ganga to Corona deaths, the group that brought the real numbers in front of the country is being raided by the government, it alleged in a message in Hindi.
“I am independent because I am Bhaskar, Only the readers’ will matters in Bhaskar,” it had said. The CBDT statement alleged that the group has more than 100 companies including the holding and subsidiary companies and that they have been operating several companies in the names of their employees that have been used for booking “bogus” expenses and routing of funds.