The ongoing search by the income tax (IT) department on the registered unrecognized political parties (RUPPs) has fetched records of the donations to the tune of £400 million in the past three financial years. The sleuths said that the search on 23 parties, primarily based in Ahmedabad also threw light on the modus operandi employed by the persons involved.
Sources close to the development said that the search carried out at 130 places in five states involving 600 I-T officers was carried out after months of meticulous planning. Sources said, moreover, the parties are also suspected to be laundering money, adding that many parties involved were found to be established in the past one year.
Giving an example, the officials said that the persons involved would get the donation through cheques and get 3-5% of the cut. The person would prepare another cheque of a similar amount and show it as an expense, settling the balance. It would happen sometimes in as many as two to seven layers as the ‘donor’ would get the money back in cash. If someone had unaccounted cash and needed cheque to make the money legit, they would also get these cheques.”
While some of the party office-bearers were found to be running watch shops or auto drivers, the addresses were often non-existent. The sources said, the I-T department would approach banks to make the KYC procedures more stringent, adding that, about 40-odd chartered accountants, who are found to be involved with the case, would also be scrutinized for their roles. It’s likely that the racket was well-thought out as many of the ‘donors’ were found to be doctors, lawyers, businessmen, etc. Scrutiny of the seized documents would further reveal the persons involved”.
