ED Raids On Hero MotoCorp executive chairperson Pawan Kant Munjal

[andhra_jp]

The investigation stems from a Directorate of Revenue Intelligence (DRI) complaint against a person, allegedly close to Munjal, who was investigated on charges of carrying undeclared foreign currency.

“Expenditure aggregating to more than Rs 800 crore has been booked in the guise of purchase of services from a specific event management entity. This entity has siphoned off the money by way of layering. Such claims towards non-business purposes are inadmissible expenditure under the provisions of the Income-tax Act, 1961,” Ahluwalia had said.

“In the search, it was also found that 10 acres of farm land at Delhi was purchased through a few paper companies. In such transactions, an unaccounted cash component of over Rs 60 crore was purportedly involved. The ultimate/real beneficiary of the land deal is a prominent person of the automobile manufacturer group. The intermediary who facilitated the said deal has admitted in his statement that a major part of the sale consideration was paid in cash,” she said.