Gujarat: Income Tax Raids Hit Ahmedabad's Dairy and Hospitality Giants

Ahmedabad witnessed a major crackdown by the Income Tax department today as they conducted raids on residences and offices of prominent dairy and hotel groups. Around 75 I-T officers, part of the investigation wing, swooped down on nearly 13 locations across the city.

Sources close to the development revealed that the searches targeted the Gopal Dairy and Riverview Hotel groups, both owned and operated by Nishit Desai, Gaurang Desai, and their business partners. The I-T department suspected large-scale irregularities involving benami transactions, prompting this search and seizure operation.

Benami transactions

Benami transactions refer to the purchase of property or assets in the name of someone other than the actual owner. These transactions are often used to hide wealth or evade taxes. The I-T department believes the raids will unearth a significant network of such benami transactions conducted by the targeted groups.

As of this report's filing, the searches are still ongoing across the 13 locations in Ahmedabad. The department remains tight-lipped on the specifics of the seized documents or recovered assets. However,  a substantial disclosure of benami holdings is expected in the coming days. This raid signifies a strong stance by the Income Tax department against financial irregularities within the city's prominent business establishments.

Published on: Wednesday, March 27, 2024, 01:56 PM IST