Searches on two educational institutions resulted in detection of several hundreds of crores worth unaccounted income

C Shivakumar @ CHENNAI:
Several hundreds of crores worth unaccounted income have been detected by the Income Tax department during the searches conducted at two educational groups, according to income tax department sources.

Highlighting that the searches have got nothing to do with politics, sources highlighted that the two educational groups have been evading taxes while collecting huge amounts as fees from the students. One of the educational groups is run by DMK MP S Jagathrakshakan while the other is run by Saveetha group.

The searches were launched three days ago and the Income Tax department said that a huge amount of cash was found at both the educational institutions. "We found a huge amount of fee receipts that were not accounted for. Even a huge amount of jewellery was also found during the searches," Income tax department sources said.

During the searches, Income tax department sleuths also found that a huge amount of cash was also diverted from the Trusts of the institutions. Highlighting the searches were given a political colour, the Income tax sources said that the tax evasion which is considered to be huge is currently being scrutinised.

"We are currently scrutinising the tax evasion, which is likely to run to several hundreds of crores," the source said.

In the past also various educational institutions have been searched and the Income tax department has found a huge amount of unaccounted cash. It is learnt that Chief Minister M K Stalin dubbed the searches at DMK MP Jagathrakshakan's educational institutions as 'vindictive politics'.  

Also highlighting the searches on government contractor Chennai Radha Engineering, it is understood that Rs 15 crore worth cash was seized during the searches.