The raid was essentially to investigate into the department’s failure to pay central tax besides checking on mines owners skipping paying income tax for the last couple of years.
“We found that mines department did not pay central tax in the last few years and for the years when it paid the tax, no proper record is maintained. Many mining owners failed to pay income tax,” an official told Herald.
The I-T sleuths from the Bangalore regional office also collected documents that revealed gross discrepancies in iron ore production and royalty payments made.
Mines Director Prasanna Acharya was grilled for several hours even as the I-T officers continued to collect files.
One of the raiding team members told Herald the surprise check was based on Justice Shah Commission’s report that had pointed out to illegalities and irregularities in the State to the tune of Rs 35,000 crore.
The report had indirectly indicted former chief ministers Pratapsingh Rane and Digambar Kamat of abusing their power to allow uncontrolled illegal mining by individuals and top mining companies.
A few mining companies could also be raided, especially those booked for illegalities by SIT.
