BENGALURU: A series of income tax raids following demonetisation has not just exposed money exchange rackets but has also created a trust deficit between the I-T department and police in Karnataka. Surmising the involvement of police officers in extortion during the raids, the I-T department has decided to keep the local cops at bay and has issued strict instructions against independent searches by them.“The role of local police should have been vital in terms of busting money exchange rackets. Unfortunately, the very presence of police has created a stumbling block,“ said a senior I-T official.The official said that in most of the cases police would be the first to know about the crime, and instead of informing the I-T department visited the spots on their own. “Cops have been found to join hands with bank officials to strike a deal with the culprits and destroy all evidence even before I-T sleuths come to know about the case,“ he added.“It's possible to book the police officers involved while the spotlight is still on the bank officials in a case, but it takes time,“ the I-T official said. Cops are empowered to intercept vehicles for search and their network of informants is so wide that they get information about a racket before anyone else. In fact, the first money laundering case after demonetisation was registered by police when cops from Byatarayan apura police station seized a vehicle transporting hawala money on November 16.The vehicle having Gujarat registration was allegedly carrying wades of new Rs 2,000 notes.The police later informed the I-T sleuths and the case was eventually referred to ED and CBI. “This was among the few cases when police promptly informed the I-T department. In the cases registered subsequently, police acted on their own,“ said the I-T official.Two cops of Girinagar police station were held on December 5 on charges of extorting Rs 8 lakh from a lawyer who was allegedly carrying the money in her vehicle. In another case, a constable of the Central Crime Branch, along with four others, was held for cash conversion.Admitting that police have stopped independent searches, DCP (West) M N Anucheth said the I-T department was supervising all raids at present. He, however, denied charges of abetment against the police department. “Immediately after demonetization, there was a spurt in cases of money laundering. Initially, police conducted raids but now we are passing on information to the I-T department. We will only accompany them if need be,“ said Anucheth.