I-T Seizes Documents From Bangur Brokers

The income-tax department has seized sensitive documents containing details of transactions relating to Keshav Bangur-owned Bank of Rajasthan shares in the ongoing nationwide raids on the Calcutta-based Bagla group.

The Baglas, who have interests in stockbroking, real estate, plastic, steel and tea, have been brokers for the group and are believed to have bought a substantial number of shares of Bank of Rajasthan.

The matter is already under probe by the enforcement

directorate for establishing the route for alleged hawala transactions.

According to income-tax sources, the Baglas have, during initial interrogations said that they have earned profits by sale and purchase of these shares but are yet to receive the specified amount from the Bangurs as well as Arun Bajoria, the jute baron whose premises had been raided by the enforcement directorate last week in connection with the overall Keshav Bangur probe. Bajoria had been summoned to appear before the enforcement directorate in New Delhi.

 

According to enforcement director M K Bezbaruah: "The department is still in the process of assessing evidence seized during raids. It is not possible to make any comments now."

The department had searched premises of prominent industrialists - Arun Bagla, Sushil Bagla and Shravan Bagla on Thursday after conducting an all-night raid on Tuesday which spilled over to Wednesday morning.

The incriminating documents were mainly recovered from the family's residences and from four offices raided in Calcutta.

Besides, around 7 lockers remain sealed in Calcutta. Moreover, the department has sealed bank lockers and the premises of a company guest house in Mumbai. Searches were conducted on the premises of a registered office in New Delhi along with a few residences in Bangalore and a production facility at Nashik.

The searches are still continuing and the department hopes to gather more evidence and intelligence on the matter by the end of next week.

Sources feel that the Bank of Rajasthan issue may snowball into a larger scam and it is believed many large corporate bodies may have used this conduit to carry out hawala deals.

Besides, it is also alleged that this case has strong linkages with other scams going on in the country.