The searches are on at 40 locations in the three states. "The reason for the raid is suspected evasion of taxes," an I-T Department official told reporters.

The searches come a day after MAM Ramaswamy, the former chairman and director of the company, alleged Chettinad Cement owes the government a huge sum in sales tax dues.

"The government has told the company to pay up a minimum of around Rs 252 crore before negotiations can take place," Ramaswamy said at a press conference called to disown his adopted son MAMR Muthiah, the managing director of the group.

Meanwhile, Muthiah told reporters, "The company does not owe any sales tax dues to the government. The company pays its dues every month. Ramaswamy is an outsider to the company. He is not associated with the company in any capacity now. One should not take an outsider's charges seriously and ask for clarifications." Ramaswamy was ousted as a director of Chettinad Cement last year.

 

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Income Tax Department conducts searches at Chettinad Group

 

Tax Department, Searches at Chettinad Group, Chettinad Group, Income Tax Department, MAM Ramaswamy, MAMR Muthiah, Latest Business News

 

Chennai: A 450-member team of the Income Tax Department conducted searches at the offices of Chettinad Group of companies in Tamil Nadu, Andhra Pradesh and Maharashtra, officials said on Wednesday.

 

The searches are on at 40 locations in the three states. "The reason for the raid is suspected evasion of taxes," an I-T Department official told reporters.

 

The searches come a day after MAM Ramaswamy, the former chairman and director of the company, alleged Chettinad Cement owes the government a huge sum in sales tax dues.

 

"The government has told the company to pay up a minimum of around Rs 252 crore before negotiations can take place," Ramaswamy said at a press conference called to disown his adopted son MAMR Muthiah, the managing director of the group.

 

Meanwhile, Muthiah told reporters, "The company does not owe any sales tax dues to the government. The company pays its dues every month. Ramaswamy is an outsider to the company. He is not associated with the company in any capacity now. One should not take an outsider's charges seriously and ask for clarifications."

 

Ramaswamy was ousted as a director of Chettinad Cement last year.