The Income Tax Department has launched a detailed investigation into Indore-based conglomerate Moira Group for its alleged involvement in a massive ₹200 crore tax evasion and share manipulation scam.
The central focus of the probe is the issuance of fake shares and alleged financial irregularities connected to group companies controlled by Vimal Todi and the Singhania family. Authorities believe these transactions were designed to divert profits and evade taxes over several fiscal years.
The Alleged Modus Operandi
Investigative officials claim the scam centers around the backdated issuance of fake shares by Moira Group companies. These shares were allegedly shown as investments or acquisitions to inflate capital and reduce taxable income.
Preliminary findings suggest that shell companies may have been used to route transactions and camouflage ownership trails. Multiple firms under the Moira umbrella reportedly issued high-value shares without adequate documentation or regulatory filings.
Tax officers are examining whether fake directors or benami accounts were used in conjunction with forged board resolutions. “There is sufficient evidence to indicate a structured and premeditated financial scam,” said a senior income tax official close to the probe.
Key Names and Legal Ramifications
Vimal Todi, a well-known figure in Indore’s industrial sector, has emerged as a central figure in the investigation. His close associations with other industrialists, including the Singhania family, are under review as authorities trace the flow of funds and ownership structures.
The Income Tax Department, which conducted multiple raids across Indore and surrounding regions, is said to have recovered incriminating documents, digital records, and shell firm agreements that may be used as evidence.
Legal experts say that if charges are proven, the consequences could include criminal prosecution under the Income Tax Act, Companies Act, and even the Prevention of Money Laundering Act (PMLA).
Despite the severity of the allegations, no official arrests have been made yet. Moira Group has not released a public statement as of this writing. Repeated attempts to contact the company’s representatives were unsuccessful.
About the Author – Anirudh Mittal is a B.Sc. LL.B. (Hons.) student at National Forensic Sciences University, Gandhinagar, with a keen interest in corporate law and tech-driven legal change.