Coffee Day Ent tanks over 8 pc after I-T searches at CCD group

Shares of Coffee Day Enterprises tumbled over 8 per cent today after I-T searches at the properties of V G Siddhartha, founder-owner of Cafe Coffee Day (CCD) group, revealed undisclosed assets worth Rs 650 crore.
Coffee Day Enterprises runs Cafe Coffee Day (CCD) chain.
The stock plunged 8.39 per cent to close at Rs 212.45 on BSE. During the day, it plummeted 11.75 per cent to Rs 204.65.
On NSE, shares of the company slumped 7.79 per cent to end at Rs 212.25.
Searches at the properties of V G Siddhartha, the son- in-law of former Karnataka chief minister S M Krishna and founder-owner of CCD group, have revealed undisclosed assets worth Rs 650 crore, the Income Tax department said today.

"The searches in a group involved in coffee, tourism, information technology and other areas concluded with an admission of previously concealed income exceeding Rs 650 crore," said an I-T department official.

Coffee Day Enterprises Ltd in a filing to BSE today said that search/survey was carried out by the Income Tax authorities on the company and its subsidiaries starting September 21 and ending September 24.
It said, "We wish to inform that we have extended full cooperation to the Income Tax authorities. Further, we submit that there is no information discovered which would have a significant impact on the financial position of Coffee Day Enterprises and its subsidiaries."

"Further any information which is considered to have material impact in nature discovered later will be intimated to the exchange immediately," it said.