Piyush Jain tax evasion case: IT Dept raids Kanpur transporter Praveen Jain's house

An income tax raid was carried out at Kanpur transporter Praveen Jain's house in connection with the Uttar Pradesh black money recovery on Tuesday. According to sources, the Directorate General of Goods and Services Tax Intelligence (DGGI) and Income Tax officials seized documents from Praveen's house in Juhi Anandpuri during the raids. 

Praveen Jain is the brother-in-law of Kanpur businessman Piyush Jain's elder brother Amrish Jain. He runs a transport company under the name 'Ganpat Transport' in Kanpur. Earlier, the DGGI had recovered an amount of Rs 1 crore from his company. He is said to have allegedly prepared more than 200 fake invoices to avoid paying GST. Sources have revealed that Praveen Jain's vehicles were primarily used in the business of Shikhar Pan Masala and businesses related to Piyush Jain, who is at the centre of the entire black money recovery. 

Over the last few days, incessant raids were carried out by several Central agencies at businessman Piyush Jain's properties. The 5-day raids saw the biggest seizure in the history of the Central Board Of Direct Taxes, where Rs 193 crore in cash was recovered from the residence and factory of the Kanpur-based businessman. Apart from the hefty cash, the DGGI recovered 25 kg gold and 250 kg silver along with unaccounted raw material such as sandalwood oil and finished products (perfumes) worth crores, from Jain's premises in Kanpur and Kannauj.

Piyush Jain sent to 14-day custody

After the massive seizure, Piyush Jain has been sent to 14 days remand. The DGGI said that the goods were transported using 'fake invoices'. More than 200 such fake invoices were recovered. "The manufacturers of Shikhar brand of pan masala/tobacco products have admitted and deposited an amount of Rs 3.09 crore towards their tax liability," it said. When asked about the source of money, Piyush Jain reportedly told officials that he sold 400 kg of his ancestral gold. However, when he was asked about the jeweller or company to which the gold was sold, he had no substantial answer.

Meanwhile, a political faceoff has also broken out in Uttar Pradesh following the black money raid. Notably, accused Piyush Jain is the brother of senior Samajwadi Party leader Pammi Jain, and allegedly also the manufacturer of the 'Samajwadi Party perfume' which SP chief Akhilesh Yadav had launched recently.