Summary:
BENGALURU: Income tax officials seized Rs 6.76 crore from four contractors in the Mysuru area during a raid following a tip-off on cash hoarding.The amount seized was in higher denomination notes of Rs 2000 and Rs 500. “The bulk of the seizure was made from lockers in benami names,” it said.Since the start of assembly election-related surveillance, IT department has seized a total cash of Rs 10.62 crore and jewellery worth Rs 1.33 crore has been seized. Reports of shortage of currency notes in certain parts of the country have been making the rounds. The cash found and seized is not reflected in the books of account maintained by the contractors.In a statement released on Thursday, the I-T department said that searches were carried out on several such contractors between April 24 and 26.“Several contractors were in possession of huge stocks of cash in the higher denominations. Recent tax searches and seizures in Karnataka appear to indicate that one reason is hoarding of cash by government contractors,” said the statement.The statement from the I-T department said that hoarding of huge stocks of cash by these persons at a time when currency shortage is being reported in some areas in the state raises troubling questions..