Mahesh Shah, the Ahmedabad -based land dealer who is in the dock for making a £1.38 billion disclosure under the Income Declaration Scheme 2016 (IDS), ostensibly to launder black money of influential people for a commission, has proved a tough nut for Income Tax (I-T) sleuths. I-T officials said he remained uncooperative during his interrogation.
When Shah resurfaced from his hideout, he insisted he would name all those whose untaxed wealth he intended to launder for a cut. "I will give all names to I-T", Shah had said. But during interrogation by the tax department, Shah did not divulge much. Shah was taken by I-T officials to their office. His interrogation was recorded by Vinay Kaushal, deputy director (investigation), along with three other tax sleuths.
After the interrogation concluded, P C Mody, director general (investigation), said: "Mahesh Shah was not cooperating with the investigation. He sought two or three days time to provide the information and also said that his wife was not well. If he remains uncooperative, action will be taken against him."
"He did not reveal anything today and will come to the I-T office after two or three days," Mody said. During the interrogation, a team of doctors was also called as Shah, a heart patient, complained of uneasiness. Meanwhile, sources said documents seized by the I-T department in searches at 15 locations revealed Shah's connection with businessmen and politicians in Rajkot and Karnataka.
This was revealed after the I-T department conducted marathon interrogation and searches at 15 premises in Ahmedabad, Rajkot and Mumbai. Shah, a big-ticket land dealer with business interests in Gujarat, Mumbai and Pune, had declared the putative undisclosed income on September 30, the last date for disclosures under IDS. The first instalment of £156 million, 25% of the 45% tax imposed on his declared income, was to be paid on November 30. I-T sources said documents, in hard and soft format, revealed that Shah was on good terms with a Gujarat politician who shifted to Karnataka, a politician-turned-industrialist from Karnataka and a travel operator in Rajkot. "It is not yet clear whether this undisclosed income belonged to these people but a through inquiry will throw more light on this," a source said.