ED attaches properties worth Rs 69 crore in TDS fraudulent in TDS refund case

Land in Khandala, Lonavala and some other locations of Maharashtra and Karnataka, apart from luxury cars, worth more than Rs 69.65 crore in total have been attached under the anti-money laundering law in connection with a refund fraud allegedly perpetrated by an Income-Tax department official, the ED said.

Senior tax assistant Tanaji Mandal Adhikari and others allegedly issued total tax deducted at source (TDS) refunds of Rs 263 crore from the I-T department to personal bank accounts in an unauthorised manner.

Land at Lonavala, Khandala, Karjat and Pune (in Maharashtra) and Udupi (in Karnataka), flats at Panvel and Mumbai and three luxury cars — BMW X7, Mercedes GLS400d and Audi Q7 — held in the name of Bhushan Anant Patil, Rajesh Shetty, Sarika Shetty, Kriti Verma and others have been provisionally attached under sections of the Prevention of Money Laundering Act, the Enforcement Directorate (ED) said in a statement.

The money-laundering case stems from a CBI FIR against the accused, lodged on the basis of a written complaint from the additional director general (vigilance) of the Central Board of Direct Taxes (CBDT) that alleged “bogus issuance of refunds for assessment years 2007-08 and 2008-09. Adhikari, the ED alleged, had access to RSA tokens (a security tool) and the log-in credentials of his supervisory authorities.