Chennai: Income tax department officials conducted raids on Tiruchengode-based Christy Friedgram Industry that supplies eggs and health-mix powder for the Integrated Child Development Services (ICDS), on Thursday.
According to sources, the firm had secured contracts from the state government by means of the misappropriation and suspicions were raised on M. Sudha Devi, managing director. TN Civil Supplies Corporation, in awarding contracts.
Following the complaint against the food product company of tax evasion by forming shell companies, the officials raided the company.
“The company had allegedly changed the scrapped notes during the demonetisation through those shell companies. As the investigations suggested possible perversity, the raid was conducted in 76 places in Tamil Nadu, Andhra Pradesh and Karnataka, where the firm has establishments,” a source said. n P3
In Chennai, the sleuths raided at more than 35 places including IAS officer Sudha Devi's residence in Nerkundram and her office in Kilpauk. The raids were also conducted in Agni group offices. The officials suspect ties between Agni and Christy. “More than 500 I-T officials had been coordinated in the simultaneous raid that started at early morning 4 am,” the source said. In Chennai, nearly 200 officials took part in the raid.
Important documents were recovered from the raided residences and offices. “As the raids were conducted until late night, the exact number of seized properties and details of the documents would only be released after verification. It is alleged that the Christy Friedgram Industry has nearly 40 shell companies,” the source added.
