I-T raids Exel Rubbers, discrepancy in returns

Hyderabad: Officials of the income tax (I-T) department, who raided the offices of Exel Rubbers Limited and related companies and the residences of its directors in 20 teams, said they found irregularities in the filing of I-T returns. Officials also raided a company facility in Pasamailaram of Sangareddy district.

Exel Rubbers Limited is a manufacturing company located in Bachupally, with its head office at Madhapur. It is involved in running multiple business activities — infrastructure, tubes, tyres, and information technology, among others.

The I-T department deployed around 40 officers to conduct the raids which began at about 6.30 am on Wednesday.

The raids were conducted on suspicion of violations in furnishing details of the source of income and profits. Agency officials also questioned auditors and accounting staff on the regular transactions.

 The residences of five directors of the company, Gangaram Raghunatha Reddy, Sirisha Gangaram, Shabuddin Habeeb Syed, Madhava Reddy Baddevolu, Manjusha Gangaram and Vasudeva Reddy Gangaram, were also raided on the day.

Ragunatha Reddy is also a director of Vilas Polymer Private Limited, ACE Tyres Private Limited, Venus Elastomers Private Limited and Maximo Tyres Private Limited. Another director was found to have floated an IT firm, Cyber Sphere IT Services Private Limited.

 After questioning staff and auditors, the I-T officials seized documents related to financial transactions, invoices, bills, details of manufacturing products and their sales history.