Lucknow. The Income Tax Department has uncovered a massive ₹400 crore tax evasion racket following a four-day-long raid at multiple premises of Indian Frozen Foods, a meat processing and export company based in Sambhal, Uttar Pradesh. The operation, which concluded on Thursday, revealed extensive evidence of unaccounted wealth, bogus firms, and suspicious financial transactions.
Gold, Cash, and Bogus Records Seized
According to sources, the raiding teams seized gold jewellery worth ₹4 crore and over ₹2 crore in cash. Several diaries containing detailed records of unreported income and off-the-book transactions were also recovered. Preliminary findings suggest the company had been purchasing livestock illegally and routing payments through dozens of shell companies to conceal its financial trail.
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Employees Flee as Raids Begin
When the Income Tax teams arrived, several employees reportedly fled the premises, abandoning their mobile phones and critical documents. Officials later recovered multiple bank records, land registries, digital devices, and fake invoices.
Investigators searched nearly 20 residential and business locations, even breaking open locked cupboards and safes to recover hidden records.
Severe Violations Found at Slaughterhouses
Inspections at the company’s slaughterhouses revealed serious irregularities. Officials discovered that animal culling far exceeded permitted limits, with sanitation and environmental norms blatantly violated. In some locations, female officers were denied entry, and unknown persons attempted to obstruct and trail the raiding teams.
Local police immediately deployed additional forces to ensure security and assist Income Tax officers in completing the raids.
Key Executives to Face Further Questioning
The department has already recorded statements from several company directors and employees. However, some workers reportedly refused to testify, citing threats to their safety. Based on the recovered evidence, the authorities plan to issue fresh summons to the company’s top management and key staff for second-round questioning at the department’s Lucknow office.
Shell Companies Under Scanner
Investigators have identified a network of bogus firms allegedly linked to Indian Frozen Foods, used to channel unaccounted money and facilitate illegal purchases of livestock. Officials suspect that large sums of cash were withdrawn from bank accounts and used for off-the-record payments. The company’s directors failed to disclose the real owners of these shell entities, further strengthening the department’s suspicion of organized financial misconduct.
