Congress MLA A Moneybag: I-T Raid Throws Up Rs 120 Crore In Undisclosed Income, Rs 1.10 Crore Cash And 10 Kg Gold 

On Saturday (9 February 2019), Income Tax authorities said they had discovered Rs 120 crore in undisclosed income while recovering Rs 1.10 crore in cash and 10 kg of gold in raids conducted on multiple properties associated with Congress MLA M T B Nagaraj, reports Times of India.

The raids were carried out by the I-T Department as part of a tax evasion probe. "The raids conducted in the tax evasion probe case against the Congress MLA resulted in disclosure of unaccounted income exceeding Rs 120 crore. Unexplained cash worth Rs 1.10 crore and 10 kg gold have also been recovered as part of this action," I-T sleuths stated.

The undisclosed income discovered had been created through unaccounted real estate investments, building of different kinds of properties and withdrawal of fake unsecured credit for sums which actually represent revenue receipts, among other mechanisms.

More than 3,500 documents proving ownership of around 560 acres of land by the MLA and his associates were also recovered.

The raids were carried out in Bengaluru and Hoskote, the latter being Nagaraj’s constituency. As part of the investigation, I-T sleuths are also looking into payments to the tune of Rs 70 crore made to landlords associated with the MLA. No capital gains taxes were paid for the transactions.

This latest episode of undisclosed income of a lawmaker being uncovered follows the detection last month of undisclosed assets worth Rs 162 crore and the recovery of Rs 41 lakh in cash, and more than a dozen kg of gold and ornaments from the properties belonging to Congress Minister Ramesh L Jarkiholi and Mahila Congress President Laxmi R Hebbalkar.