The Income Tax Department raid raided more than 50 locations of Polycab India, leading to a sharp fall in the company’s shares.
stock market movement
The raid on Thursday, January 11 resulted in Polycab shares falling by more than 22 per cent, leading to a 22.4 per cent decline in their valuation on the BSE.
Income Tax Department statement disclosed
According to the statement of the Union Finance Ministry, a large number of objectionable items have been recovered from the company’s premises during the raid.
Polycab did tax evasion and rigging
The statement also reveals that the company has evaded tax in collusion with authorized distributors and sold cash to hide its taxable income.
large unaccounted for cash
According to the Finance Ministry, during the raid it was revealed that Polycab had made unaccounted cash sales of approximately Rs 1000 crore, the accounts of which were not found with the company.
Apart from this, the Income Tax Department has also frozen more than 25 bank lockers at various locations, which may contain important documents related to the company.