Mysterious Ahmedabad man who declared 13860 crore of black money under IDS now baffles everyone

Ahmedabad: The strange case of an alleged ‘mysterious’ less known businessman from Ahmedabad, Mahesh Shah who had declared a whopping Rs 13860 crore of black money minutes before the expiry of the deadline on the last day of the income declaration scheme (IDS) on September 30, has now baffled everyone including the IT sleuths as well as the Chartered Accountant’s firm which had helped him filing his declaration.

The IT sleuths and the CA firm Appaji and Company which were also surprised at his last minute declaration of such a large sum that too in cash are now equally perplexed as he has not paid a single penny as the tax even after numerous reminders and the expiry of the deadline of paying the first installment of the tax (25%) at around Rs 1560 crore by November 30. What is more baffling is that now he has reportedly gone ‘underground’.

However his son today claimed that he was out of Ahmedabad for last one month and was not underground. His daughter on the other hand said that his whereabouts are not known but he has not run away from the law.

67 year old Shah, who is the resident of Ahmedabad and also owns house in Mumbai (though only a few properties and seemingly a very simple background), had reportedly declared Rs 13860 crore of black money, interestingly all in cash, just five minutes before mid night of the last date of the IDS here. He is neither a well known businessmen nor a corporate figure and said to have been involved in land business. Interestingly he has reportedly not filed his IT return for the last two years and the last declaration puts his balance sheet at only Rs 4.5 crore.

He had agreed to pay a tax of Rs 6237 crore as 45% penalty according to the provisions under the scheme.

Recently, during raids on his office the IT department had got only around Rs 29 thousand in cash and a little over Rs 7 lakh in cash from his residence and jewelry worth around Rs 13 lakh but all is reportedly under his declared income so far. The raids were conducted at his offices and residences in Ahmedabad, Mumbai and some of his acquaintances in Rajkot. Some documents have also been seized.

His CA Tehemul Seth who had also faced an IT raid on his office said today that his client had contacted him on the last day of the IDS and he had taken him to the income tax commissioner who cooperated and allowed him to declare his income under the scheme .

‘Shah, who is not a regular client and known to us since 2013 only told us that all the money is in cash and he agreed to pay the tax under the scheme in stipulated time and installments. I had given him form number 2 on October 14 after completion of initial procedures and he was in touch with me and told me every time I talked to him that he would pay the tax soon. We also suggested him to pay at least part of the tax so that the IT sleuths do not take any action against him. But he did not pay any tax. He also did not tell us as to where the money is. He was also assured of all kind of protection for carrying such a huge amount of cash money to IT office here. We had no reason to doubt anything but we are also equally surprised now. Whatever information we had, we have passed it to the IT department. His phone is now switched off,’ the CA said adding that Shah is a resident of Ahmedabad but is having some business in Mumbai and other place also.

He also said that Shah did not tell him whether the entire money belonged to him or not. The CA said that doubts are now being raised whether he was having any money or not but as he had himself come forward for the declaration we had never doubted anythign like this and still feel that his claims were not hollow.

Shah had not mentioned his profession in the declaration as well amid talks that he had in fact tried to launder the money of certain big fishes.

Meanwhile his son Mohitesh who lives in his father’s residence in an apartment in Jodhpur area of Ahmedabad today said that his father was out of Ahmedabad for last one month. He stressed that his father was a responsible citizen and has not gone underground. ‘ He is not keeping well also and will come here at an appropriate time,’ the son claimed adding that he has no idea about the declaration of his father.

DeshGujarat