New Delhi: The Income Tax (I-T) Department has conducted survey at the corporate office of Dhampur Sugar Mills in New Delhi between January 4 and January 7.
Investigations by Income Tax Department into the deposits and transfers made by Delhi-based sugar trader Akash Arora post-demonetisation led the tax sleuths to the doorstep of Dhampur Sugar Mills.
A source close to the development told BTVi, “The survey was conducted at Dhampur Sugar Mills’ corporate office in Okhla Industrial Area of New Delhi.”
Sources said the tax department has found crucial evidence pertaining to claim of long-term capital gains on bogus scrips during the four days survey.
According to sources in Income Tax department, there are allegations of share transfer of Dhampur’s subsidiary, Kashipur Sugar Mills, to small time non-descript firms.
Tax sleuths have also come across evidences of multi-party fund rotation via accounts of parties related to the company and bogus purchases.
In the course of the survey, the I-T Department has also questioned officials from accounts department in Dhampur Sugar Mills on the survey findings.
According to sources, officials from the company have conveyed to the I-T Department that the computer containing the detailed records of accounts, which was in Dhampur office, has caught fire.
The company’s management has given an assurance to the tax department that the hard disk of the computer will be procured and handed over to the department as soon as possible.
Dhampur Sugar Mills, meanwhile, has denied observations on long-term capital gains on bogus scrips and bogus purchases, among others.
In a written reply to BTVi, SK Bhatnagar, President (Corporate), Dhampur Sugar Mills said the allegations on LTCG claims on bogus shares are “emphatically denied”.
On fund transfer from Akash Arora, Bhatnagar said, “Akash Arora used to purchase sugar from our company and has purchased sugar prior to and post-demonetisation. The payments of sugar purchased by him are through banking system that is NEFT/RTGS/cheques. We would also like to apprise you that Akash Arora is a sugar trader and has been purchasing sugar from a number of other sugar mills.”