Congress Leaders Found With 12.8 Kg Jewellery In I-T Raid, Admit Having Illegal Money Worth Rs 162 Crore

The Income Tax Department on Tuesday confirmed that two Congress leaders, Small-Scale Industries Minister Ramesh L Jarkiholi and state Congress women's wing president Laxmi Hebbalkar, evaded taxes. The department, which searched the premises of these leaders, said it has “evidence of systematic and organised tax evasion".

Without naming the Karnataka minister and Hebbalkar in its official statement, the department said that several accounts were created with fake names by those accused and “unexplained cash deposits” had been made in bank accounts of their family members. According to the department, cooperative societies were also used by the Karnataka minister, who will also be investigated for misuse of office.

"It was also seen that nonexistent persons have been made shareholders and investors in one of the sugar companies. Evidence of creation of bogus assets and siphoning off money from the company through various concerns engaged in turnkey projects for setting up of sugar factories have also been gathered,'' said the I-T Department.

According to the Times Of India, I-T Department’s search also led to the admission of undisclosed income of Rs 162.06 crore. The officers also unearthed unexplained cash amounting to Rs 41 lakh and seized 12.8 kg of gold and silver jewellery. Members of the family and relatives, who the department found to have huge income and investments, were not filing income tax returns. The investigation is still on, the department said.