Tax evasion probe: IT sleuths search TN Chief Secy's office

Chennai: The Income Tax department on Wednesday conducted searches at over a dozen locations in connection with its tax evasion probe against the son and few other relatives of Tamil Nadu Chief Secretary P Rama Mohana Rao.

The searches that began as early as 6:00 am are on at various places in the state and neighbouring state of Andhra Pradesh.

"A total of 13 premises are being searched," a senior official said, adding the premises connected to Rao's son and other relatives are part of the operation.

It is understood that the official residence of the Chief Secretary in the state capital in Chennai has also been brought under the said operation.

Central Reserve Police Force (CRPF) personnel were posted outside Rao’s home.

After searching Rao’s home, the officials headed to the Tamil Nadu Secretariat to conduct similar searches. The team arrived in three cars along with paramilitary security, said reports.

Meanwhile, Tamil Nadu Chief Minister O Panneerselvam held a meeting of top officials at the Secretariat, from which Rao was absent.

Rao was appointed the top state bureaucrat in June this year by the state government.

The searches are related to the department's probe in the biggest haul of cash and gold here post demonetisation, in which over Rs 142 crore unaccounted assets have been recovered so far.

The total seizure in the case is over Rs 170 crore in a single case related to action against sand mining operators in the state and few others including S Reddy, who was also on the panel of a religious shrine body.

The Enforcement Directorate has also registered a money laundering complaint in this case after the tax department shared official documents with the agency.

 Calling the raids "unprecendented", DMK leader MK Stalin said they had "brought shame for Tamil Nadu.”

"Corrupt officers and those behind them shouldn't be allowed to escape," Stalin said.

West Bengal Chief Minister Mamata Banerjee for her part criticised the IT raid at the residence of Tamil Nadu Chief Secretary P Rama Mohana Rao, saying such a "vindictive and unethical" act by the central agencies devalues the institution of head of the civil service.

"Why this vindictive, unethical, technically improper action? Is it only to disturb the federal structure? Why do not they raid Amit Shah and others..." she said in a statement.

Banerjee said corruption needs to be strongly condemned, but "the raid on Tamil Nadu Chief Secretary by central agencies devalues the institution of head of the civil service".

Earlier this month, tax officials raided businessman J Shekar Reddy who, reportedly has business links with the Chief Secretary's son.

Documents found at  Reddy's house may have led to the raid at Rao's home, said reports.

Over 100 kg of gold and cash amounting to Rs 96 crore in banned 500 and 1,000-rupee notes and Rs 34 crore in new currency notes have been found in the raids at the homes of Reddy and two other Tamil Nadu businessmen.