The Income Tax Department officials for the second day on Thursday conducted raids at 20 places linked to the Odisha-based real estate major DN Group on allegations of tax evasion.
While both the company and IT department remained silent on the development, sources said that raids continued at the residences of the company’s director, staff and office at IRC Village in the city and a substantial amount of cash of about Rs 9 crore was reportedly seized from the house of a staffer at Unit-4.
The IT officials on Thursday took a staff of DN Group, from whose possession the cash was seized, for further interrogation. The team also seized some important documents of the company during the search, sources said that the IT officials came across transactions of around Rs 105 crore by the company.
DN Group deals with several housing projects, malls, hospitality and other sectors.
Meanwhile, the IT raids led to a political slugfest with the opposition BJP and Congress targeting the ruling BJD headed by Chief Minister Naveen Patnaik. The DN Group chief J P Nayak had accompanied the chief minister on his Japan tour earlier this year.
Senior Congress leader and MLA SS Saluja alleged that many ruling party leaders have investments in the DN Group for which the company was getting protection. “The people have the right to know whose money is invested in DN Group,” Saluja said.
Alleging patronage of the chief minister’s office for the DN Group, BJP spokesperson Anil Biswal said that the company chief was attending meetings with senior officials. “Now the chief minister’s office in Odisha is known as the corruption mobilization office,” Biswal told reporters.
However, a BJD MLA rejected the allegations made by opposition parties. “We have nothing to do with the DN Group. Let the law take its own course. The opposition should not drag CMO into all such matters,” he said.