I-T raids on Sri Chaitanya for collecting fees in cash
Officials investigate claims of cash fee collections and fund diversions across multiple cities.
Hyderabad: Income-tax (I-T) officials on Monday raided Sri Chaitanya Educational Institutions and its corporate offices located at different places, including Hyderabad, Vijayawada, Mumbai, New Delhi, Chennai and Bengaluru, to probe allegations that the group was allegedly collecting fees from parents in cash to evade tax.
According to sources, 30 teams participated in the raids. “Officials have carried out raids at six places in Hyderabad. Around 6 am on Monday, the I-T officials, along with the Central forces, arrived at the Sri Chaitanya Colleges corporate office located at Madhapur and its branches in Hyderabad,” the sources added.
The sources said the I-T officials verified the income-tax returns (ITRs) filed by the management for the past three years. “During the verification of ITRs, the I-T officials suspected the management collected fees from parents and did not furnish the details as sources of income by reportedly diverting funds to its other businesses.”
The officials reportedly verified the admissions in the last academic year and collected fees from the students. They also focused on the expenditure in paying off salaries for lecturers.
The sources stated that the I-T officials questioned the educational institutions officials in submitting details of bank accounts, deposits and withdrawals, expenditures by maintaining a record of accounts. They collected software used in collecting fees details from student's parents in NEFTs, RTGS payments and cash details. The IT officials are likely to serve notices to the management for questioning them following the raids.
