CHENNAI: The income tax department ’s investigation wing officials stumbled upon Rs 100 crore in cash and gold worth several crores of rupees in searches conducted on Monday on SPK and Co , a partnership firm that executes contract work for the state highways department.

Several hundred officials have been searching more than 20 SPK premises across Chennai, Aruppukottai, Vellore and Madurai since Monday morning, said the official. The searches, codenamed ‘ Operation Parking Money ’, are expected to continue on Tuesday.

One of the promoters of the SPK Group is Nagarajan Seyyadurai. According to the ministry of corporate affairs website, he has a partner in one of the firms involved in road contract work. Seyyadurai is a close relative of a prominent AIADMK leader.

The firms promoted by Seyyadurai are involved in several big state highways projects. “The searches were conducted based on information about tax evasion. Within a few hours, we found Rs 80 crore in cash,” the official said.

“We found cash in several bundles in the offices and residences of the group directors in Chennai,” said the I-T official. Apart from gold jewellery, there were gold bars, he said.

Recently, the T T V Dhinakaran camp and the DMK had alleged large scale corruption in highways contracts. They had alleged involvement of close associates and relatives of an AIADMK leader in the deals.

