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Tax liabilities of Kanpur businessman Piyush Jain yet to be decided: DGGI
The DGGI, which recently uncovered ₹197 crore cash and 23 kg of gold from Kannauj-based perfume maker Piyush Jain, is still investigating the case and it has not yet determined his liabilities.
The Directorate General of GST Intelligence (DGGI), which recently uncovered ₹197 crore cash and 23 kg of gold from Kannauj-based perfume maker Piyush Jain, is still investigating the case and it has not yet determined his liabilities, the Union finance ministry said on Thursday, refuting media reports of Jain being discharged of tax liabilities.
DGGI has “so far” recovered “a total cash of ₹197.49 crore, 23 kg of gold and offending goods of high value” from two premises of Odochem Industries, the manufacturer of perfumery compounds, in Uttar Pradesh and its proprietor Jain in the “ongoing” investigation, the ministry said in a statement.
It refuted reports appeared in certain sections of the media that DGGI has decided to treat the cash recovered as the turnover of the manufacturing unit and proposes to proceed accordingly.
“These reports are purely speculative, without any basis and seek to undermine the integrity of the ongoing investigations which are being carried out in a most professional manner based on specific intelligence against the party,” it said.
“Some reports have even stated that after admitting his liability, Piyush Jain has, with the approval of DGGI, deposited a total amount of ₹52 crore as tax dues. Thus, it is made out as if the department has agreed with the deposition of Piyush Jain and finalised the tax liability accordingly,” the statement said.
In this regard, it is clarified that the total amount of cash in the ongoing case from the residential and factory premises of Jain has been kept as case property in the safe custody of the State Bank of India (SBI) pending further investigations, it said.
“No deposit of tax dues has been made by M/s Odochem Industries from the seized money to discharge their tax liabilities and their tax liabilities are yet to be determined,” it added.
The ministry further said in the statement that the voluntary submissions made by Jain are a subject matter of ongoing investigations and any view on the source of cash seized by the department and the exact tax liabilities of Odochem Industries shall be taken on the basis of appraisal of evidences collected from various premises during the searches and the outcome of further investigations.
Based on his voluntary admission of guilt and the evidence available on record, Jain was arrested on December 26 for commission of offences prescribed under Section 132 of the Central Goods and Services Tax (CGST) Act and was produced before the court the next day. The court has remanded him to a 14-day judicial custody.
