Around mid-February the Income Tax department attached the assets of a business group belonging to former Nagaland Police officer MKR Pillai’s business group. The group was found to have have embezzled Rs 1,000 crore from central funds meant for Nagaland. The latest action against the Sreevalsam Group was taken under a new law to tackle tax evasion.
As many as 36 assets of the group, its founder Pillai, his wife and sons, across Kerala have have been attached temporarily. The scam is likely to pull down top politicians and bureaucrats in Nagaland. The group has claimed large amounts of government funds meant for security-related projects without implementing the works.
News sources informed that Piilai used this money to buy real estate holdings in his home state, Kerala. He also invested the money in gold and garment businesses along with his sons Arun Raj and Varun Raj. The income tax department has collected details of inflows to Pillai’s bank accounts. He was continuing to work at the police headquarters even after retiring as a deputy superintendent.
(Pillai’s home in Kerala)
He was given the charge of police vehicles. The investigators have also found that Nagaland police vehicles were frequently driven to Kerala unofficially. The Sreevalsam Group is alleged to have smuggled money, gold and other items to Kerala in police vehicles. The business group, however, claimed that the Income Tax department had not found anything amiss during the checks. (With inputs from Agencies)