Kanpur: The Kanpur registration department has once again come under the scanner of the Income Tax Department, after a major survey operation uncovered large-scale financial irregularities running into thousands of crores. A six-hour survey conducted at the Civil Lines registry office revealed discrepancies in property registrations amounting to nearly ₹3,500 crore, triggering serious concerns over systemic manipulation and possible tax evasion.
Survey Triggers After Data Mismatch Flags
The survey was carried out on Thursday at Registry Zone-3, following internal inputs suggesting inconsistencies between property registration data shared with the tax authorities and the actual records maintained at the registry office. Preliminary findings indicate that these discrepancies may have resulted in a revenue loss of approximately ₹800 crore to the exchequer.
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Five Years of Property Records Under Scrutiny
According to sources familiar with the operation, the Income Tax Department examined property registration records spanning a five-year period, from 2020 to 2025. The data scrutiny focused on declared transaction values, identity details of buyers and sellers, and mandatory disclosures required under tax laws for high-value property deals.
Officials involved in the survey stated that a significant mismatch was found between the data digitally transmitted by the registration department to the Income Tax Department and the physical registration documents available on record. This divergence, investigators believe, points to deliberate manipulation aimed at concealing actual transaction values and beneficiary identities.
PAN Misuse and False Contact Details Flagged
One of the most striking findings of the survey was the large-scale misuse and falsification of Permanent Account Numbers (PAN). During verification, nearly 1,000 property registrations were found to contain incorrect, incomplete or arbitrary PAN entries. In several cases, PAN numbers did not correspond to the individuals listed in the transaction, while in others, invalid or unrelated numbers were recorded.
Investigators also flagged widespread inaccuracies in mobile numbers and contact details recorded in registration documents. According to the survey team, incorrect mobile numbers were repeatedly entered, making it difficult to trace parties involved in high-value transactions. The pattern of errors, officials believe, was not accidental but part of a systematic attempt to evade scrutiny and obstruct tax verification processes.
The Income Tax Department suspects that the manipulation of identity details was used to mask actual buyers and sellers, underreport property values, and bypass mandatory reporting thresholds. Such practices, if confirmed, could indicate collusion and entrenched procedural failures within the registration system.
Registry Officials Given Deadline, Wider Probe Likely
During the survey, officials seized and examined multiple sets of documents and digital records. The department has now directed registry officials to submit complete and verified documentation related to the flagged registrations within ten days. Failure to satisfactorily explain the discrepancies could invite further action, including extended investigation, reassessment proceedings, and potential penal consequences.
Sources indicated that the survey was not limited to a routine verification exercise but was initiated following analytical red flags raised through data comparison tools used by the tax department. The findings are expected to form the basis for a broader probe into property transactions in the region, particularly those involving undervaluation and identity suppression.
The operation was conducted under tight security, with a substantial police presence deployed at the registry office to ensure smooth proceedings and prevent disruption. Officials remained on-site for several hours, cross-checking records and securing relevant evidence.
Recurring Scrutiny and Governance Concerns
This is not the first time the Kanpur registry department has faced scrutiny. Previous audits and checks have highlighted vulnerabilities in property registration processes, including undervaluation of assets and gaps in data sharing between departments. However, the scale of discrepancies uncovered in the current survey marks one of the most significant findings in recent years.
The Income Tax Department is expected to continue its examination of the seized data and may expand the scope of inquiry to include related transactions, beneficiaries, and intermediaries. Further action will depend on the responses submitted by the registry office and the outcome of detailed forensic analysis.
For now, the findings have sent shockwaves through the local administration, highlighting serious governance lapses in a sector critical to revenue collection and financial transparency.
