BJP president Nitin Gadkari faced more heat on Thursday over the charge of dubious funding in his companies, with the Income Tax Department launching a probe to trace the source of funds after the Ministry of Corporate Affairs started a similar exercise.
“We will trace the source of the funds of the companies, including the 18 companies that invested in Purti,” an IT official told PTI in Mumbai.
The official said prima facie ‘shell’ companies (inactive firms used as a vehicle for various financial manoeuvres or kept dormant for future use) had pumped money into Mr. Gadkari’s Purti Power and Sugar Limited. Sources in the IT Department said a report would shortly be submitted to the Central Board of Direct Taxes. “We have already started gathering documents…,” they said. Officials of the investigation wing in Mumbai and Pune were involved in the probe.
Officials of the investing companies would be summoned and, if needed, Mr. Gadkari would also be asked to be present, the sources said.
