IT raids on 35 jewellery shops in Tamil Nadu after demonetisation

As part of the survey, the agency verified the stock details, sale details of gold jewelleries from November 7, 2016 onwards.

news Demonetisation

The jewellery shops in Tamil Nadu had a tough time on Friday. The Central Excise Intelligence wing raided 30 jewellery shops in four districts including Chennai, Trichy, Madurai and Coimbatore.

The press release stated, “Survey is basically aimed at verification of the fact whether unaccounted currencies of Rs.500 and Rs.1000 notes were used to invest in the gold market subsequent to the declaration of demonetization of said currencies by the Prime Minister of India.”

The exercise was taken up by the Directorate General of Central Excise Intelligence (DGCEI) as there were reports from reliable sources that some of the jewellers were accepting the old demonetized notes of Rs.500 and Rs.1000 denomination on commission basis, the release added.

As part of the survey, the agency verified the stock details, sale details of gold jewelleries from November 7, 2016 onwards.

In Chennai, various shops on NSC Bose Road in Sowcarpet were raided by the agency after they received information that traders were allegedly selling gold at a higher price in exchange for demonetised notes in the local hawala market.

The officials told The New Indian Express that the exercise may continue tomorrow as well and this came after the Central Board of Direct Taxes asked the Income Tax department to keep a strict vigil on illegal movement of cash and suspicious transactions after demonetisation.