CBI arrests CMD of realty firm Eldeco in graft case

NEW DELHI: The Central Bureau of Investigation on Friday arrested the chairman and managing director of realty firm Eldeco, SK Garg, in connection with its probe into a graft case in which some senior income tax officials were nabbed by the agency.
Garg was produced before a court and sent to judicial custody till July 4.
The CBI had arrested four senior income tax department officials, including director (investigations) Kunal Singh, besides Eldeco MD Pankaj Bajaj in connection with an alleged graft case.
Kunal Singh, who was posted as commissioner (Kanpur range), additional director (investigations) Ratan Singh, assistant director Uma Kant, inspector Harish Dhaundiyal and chartered accountant Anil Jaiswal were reportedly involved in alleged bribery in a tax evasion case.
Officials said Garg had been named in the FIR as well.
Sources said the matter pertained to a survey carried out by I-T officials on March 28 in connection with complaints of alleged tax evasion by Eldeco. They said before listing the recoveries from Bajaj’s lockers, the I-T officials allegedly allowed him and his family to take away a major portion of cash and gold stored in them in lieu of illegal gratification.
The agency had recovered Rs 30 lakh from Kunal Singh’s Hauz Khas residence which was allegedly given as bribe by Bajaj to settle a tax evasion case against Eldeco.
Kunal Singh, as head of the criminal investigation unit of the I-T department, was part of the team which had raided officials of Greater Noida Authority and private real estate players. He had carried out raids in Uttar Pradesh and in the National Capital Region detecting tax evasion to the tune of crores of rupees.
In a statement earlier this month, CBI said the investigation wing of the I-T department at Kanpur conducted survey on the allegation of tax evasion by the said private group of companies.
“The senior level officials of the private company (Eldeco) along with a chartered accountant (Jaiswal) based in Kanpur contacted several officials of I-T department to settle their I-T evasion matter by illegal means and allegedly paid huge amount of bribe to the said officials,” the CBI spokesperson had said.
It alleged a large amount of bribe was paid to the officials, including Kunal Singh and Ratan Singh, in return for favours shown to the private persons and to settle the I-T evasion matter.
CBI sources said some senior officials of the department based in Lucknow and Delhi may soon be questioned in connection with the case.