Coal trading firm Swami Fuels under I-T scanner
| Date :12-Jul-2019 |
Business Bureau:
Total 19 premises were covered in Nagpur, Chandrapur and Bilaspur
In a major exercise, the sleuths of Income-Tax (I-T) Department, Nagpur, conducted search and seizure operations in the premises of Nagpur-based Swami Fuels Private Limited. According to sources, the search was conducted at 19 places including Nagpur, Chandrapur and Bilaspur. The company is into trading of coal and transportation. In coal, it is involved in manufacture of coke oven products. This class includes the operation of coke ovens chiefly for the production of coke or semi-coke from hard coal and lignite, retort carbon and residual products such as coal tar or pitch. Agglomeration of coke and distillation of coal tar. Sources said that at 8 am on Thursday, about 150 officials of the Income-Tax Department fan out into various business and residential premises of Shyamsunder Mittal, Sandip Agrawal, Nitin Upare and Ranjeet Chhabda, all Directors of Swami Fuels Private Limited.
The company headquarters is situated near Lendra Park, Ramdaspeth. During the course of investigation, the officials seized incriminating documents pertaining to huge tax evasion. Ready-cash, jewellery and documents were confiscated by the Income-Tax Department. Sources said, the exact amount of cash and jewellery is yet to be ascertained till the filing of the report. The company supplies coal to big power plants in Nagpur and Chandrapur. The quantum of coal supply ranges between 35,000 metric tonne and 75,000 metric tonne (MT) per month. Also, it operates fleet of trucks for transportation of coal to respective destinations. The company is involved in big financial transactions.
However, the income shown by the assessee -- Swami Fuels Private Limited, in the Income-Tax returns was very low as compared to the volume of the business. The Directors of the company have big assets, heavy creditors and unsecured loans. This prompted the Income-Tax Department to conduct search and seizure operations on the four directors of the Swami Fuels Private Limited. Sources said that the Income-Tax Department is examining whether the huge cash seized during the investigation belongs to directors of the company or they had borrowed if from the market. “It is a clear cut case of huge concealed income,” sources said.
Although the exact quantum of tax evasion is yet to be ascertained, the amount is likely to go up significantly after detailed investigation. Looking at the volume of the business, it will take another three to four days to complete the investigation. Sources said that an investigation is also being conducted by Income-Tax Department, Nagpur, on a big coal dealer having headquarters at Surya Nagar, near Kalamna. The coal dealer is also a big supplier to power plants in the region. The incidents have created sensation among the coal dealers fraternity in the region.