IT raids several jeweler shops in Jammu after reports of illegal profiting

Vishal Sharma

Jammu Tawi, November 11

Acting swiftly on the information of tax evasion, surplus gold purchase, money laundering and illegal profiting after the demonetization of Rs 500 and Rs 1000 currency note by some jewelers in Jammu, the Income Tax (IT) department today conducted raids cum surveys at various jewelers’ shops across city in last 24 hours.

The session of conducted raids was initiated by the IT department last evening when a famous jewelry shop at Bahu Plaza was raided by the IT officials. Though the raid was kept as a top secret by the IT department and even the owner of the shop, it was the first raid conducted in the city after receiving such reports of illegal profiting and unaccounted cum surplus purchase of gold by the black money holders.

Today continuing the raids, special teams of IT department reached Jain Bazaar and Lakhdatta Bazaar of Jammu and raided famous jewelry shops there. Sources said that since it was expected that raids would be conducted by the department most of the shops were closed.

But the IT teams conducted raid at the shops which were opened and traders were searched for tax evasion and were asked to declare their additional gold stocks. If sources are to be believed the traders were also asked to provide the details of the gold quantity sold after demonetization of currency along with the details of customer that have purchased it.

The operations (surveys) were launched from the morning as the taxman wanted some hard cash to get accumulated at the payment counters to make the action effective. Sources further said that the department had got information of several places where the old currency notes were being exchanged at a discount and even being used to purchase gold.

“Department had got ‘Actionable inputs’ that some traders, jewelers, currency exchangers and hawala dealers were allegedly exploiting the recent currency demonetization of Rs 500 and Rs 1,000 notes and were changing currencies at “discounted” prices, thereby profiteering illegally” sources added.

Sources apprised that the jewelers were clearly asked by the IT team not to sell gold illegally or in any other way to convert someone’s black money into white as this could lead them into trouble and if anyone comes to purchase gold in bulk department should be informed immediately.

Worthy to mention here that it was reported to the IT department that many people have purchased gold at double price after the demonetization of currency, to convert their black money into white over which the department has taken cognizance.

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