Ranchi/Patna: In a major crackdown on alleged tax evasion and illegal financial dealings, the Income Tax Department on Monday continued its large-scale operation against the Baba Rice Mill Group and associated commission agents for the second consecutive day. The coordinated action saw simultaneous raids conducted at 42 locations across five cities in Jharkhand and Bihar—Ranchi, Jamshedpur, Patna, Gaya, and Aurangabad.
According to official sources, the raids have so far resulted in the seizure of over ₹3 crore in unaccounted cash and jewellery. In addition, investigators recovered a substantial volume of documents linked to property transactions, benami investments, and undisclosed financial dealings, all of which are now under detailed scrutiny.
The Income Tax Department has also reportedly uncovered evidence pointing to a hawala network, allegedly used to move large sums of money outside formal banking channels. Officials believe the Baba Rice Mill Group, along with nearly 15 rice traders and commission agents, may have been involved in routing unaccounted income through this illegal network to evade taxes.
Sources said that several premises belonging to mill owners, commission agents, transport operators, and close associates were searched as part of the operation. Digital devices, including laptops and mobile phones, were seized to analyse transaction trails and communication records.
Preliminary findings suggest large-scale suppression of income, inflated expenses, and cash-based trading in the rice supply chain. Investigators are also examining links between cash seizures and recent high-value land purchases made in the names of relatives and associates.
Senior Income Tax officials indicated that the operation was launched based on specific intelligence inputs regarding tax evasion and suspicious cash movements connected to the rice milling business. Statements of key individuals are being recorded, and further disclosures are expected as document verification continues.
Officials have not ruled out the possibility of additional seizures, arrests, or expansion of the probe to other entities connected to the group. The department is also coordinating with other agencies to trace the hawala money trail and identify end beneficiaries.
The raids have caused significant ripples in the rice trading community across Jharkhand and Bihar, with many traders reportedly remaining unavailable or shutting offices amid the ongoing investigation.
With the action still underway, the Income Tax Department is expected to issue a formal
statement once the operation concludes, detailing the total seizure amount and the extent of alleged tax evasion uncovered.
Comments