- A raid was held by the Income Tax department on Friday, 11th October 2019, which ended today
- A total of Rs 30 crores was seized from a renowned NEET coaching institution in Namakkal town in Tamil Nadu
- This raid follows the ones carried out in Karnataka at medical colleges with a Congress leader as a trustee
- Raids were carried out throughout the state in institutes training students for various competitive examinations
- The black money was collected from the fees paid by the students, wherein a part was paid in cheque and part in cash, which didn’t enter the likes of a record book
The Income Tax department conducted a raid on Friday, 11th October 2019 in Tamil Nadu and found Rs 30 crores of unaccounted cash in a renowned NEET coaching institute in a small town called Namakkal.
The raid ended today after this cash was seized. The Institute was estimated to be worth Rs150 crores without the unaccounted cash. The black money was acquired from the students itself, by using part of the fees paid by them. They were asked to pay a part of their fees for tuition in cash, which never entered the likes of a record book. Instead, these fee receipts were entered into different books which were taken in as evidence during the raid.
This raid came after a similar one at Karnataka, at medical colleges which were run by trustees consisting of highly esteemed individuals like a Congress party leader and the former Deputy Chief Minister of the state.
Where was the search conducted?
Besides these institutes, the raid was conducted in various other coaching institutes across the state, training students for competitive competitions like NEET.
The raid was conducted after a tip was set off that these institutes were evading their taxes by suppression of fees.
It was revealed that any extra expenses for the school and even the fees for renowned teachers were taken from this unaccounted funding. Any immovable purchases like land or personal investments were also made using black money. The money was found in bank lockers as well, in the names of various employees.
Such a raid, is in close accordance with the NEET impersonation case where 5 students were caught for appointing impersonators. 4 parents of these settings have been arrested as well.