Chennai November 9: The Income Tax Department carried out searches at five locations in Chennai and Madurai, in relation to a case of a Chennai-based group operating in the IT Infra sector. The search has led to the unearthing of evidence relating to investments in a Singapore-registered company. The shareholding of this company is held by two firms, one owned by the group searched, while the other company is a subsidiary of a major infrastructure development and financing group. It has been found that the company belonging to the searched group has invested a very nominal amount although it has 72 percent shareholding, while the other company which has only 28 percent shareholding has invested almost the entire money.This has resulted in a benefit\/gain of almost SD 7 crore, i.e., around Rs 200 crore in the hands of the company belonging to the searched group, which was not disclosed by it in its return of income and also in the FA Schedule. Thus, there is a suppression of foreign income received in the form of a share subscription equivalent to Rs 200 crore, which is taxable in India in the hands of the shareholder. Further, proceedings will be initiated under the Black Money Act, 2015 for not disclosing foreign assets\/beneficial interest in the FA Schedule of the income tax return. The present value of this investment exceeds Rs 354 crore.<\/p>\n