Published On : Thu, May 7th, 2015

LBT search & seizure action on M I Bath System, RF Array System Pvt. Ltd for dodging tax in lakhs

The Department also seizes bank accounts of eight reputed firms for evading LBT.

RF Aaryas System LBT
Nagpur.

In a major action, the Local Body Tax Department of Nagpur Municipal Corporation conducted search and seizure action at M/s M I Bath System, P.No.1, Laxmi Nagar, Nagpur; owned by Rashmi Salil Mazgaonkar. The dealer is authorised distributor of tiles and sanitary fittings. The raiding LBT officials found that the dealer imported (purchased) goods worth Rs. 3.77 crore and Rs. 3.44 crore in the financial years 2013-14 and 2014-15, respectively. The dealer is registered under LBT but has not paid any LBT till date. The Department seized purchase invoices from the dealer’s establishment.

The LBT Department conducted yet another search and seizure action at M/s RF Array System Pvt. Ltd, 106, Infotech Tower, IT Park, Nagpur. The company manufacturers radio frequency automation products. The company has made imports (purchases) worth Rs. 1.14 crore and Rs. 47.21 lakh in the financial years 2013-14 and 2014-15, respectively. The dealer is registered under LBT but has not paid any LBT payments till date. The Department seized purchase invoices and accounts statements from the dealer’s establishment. Both the dealers have not filed their annual returns till date. Department will verify the documents and data seized for fixing the actual LBT liability on the dealer.

The search and seizure actions were conducted by LBT Officer Venkat Jichkar, Assistant LBT Officer Sanjay Dahikar and Assistants Jitendra Tomar, Shailesh Bharadwaj, Hussain, Lokhande, and Someshwar Parate. The operation was initiated under the supervision of Assistant Commissioner, Milind Meshram and under the guidance of Municipal Commissioner Shrawan Hardikar and Additional Dy. Mpl. Commissioner Pramod Bhusari.

LBT on
Local Body Tax Department has also initiated action of seizing the bank accounts of the following dealers registered under LBT, as per LBT Rule 42. These traders have failed to honour the Notice of Demand issued after making due assessment of LBT liabilities outstanding against them.


1.    M/s A.S. Iyer Construction Pvt. Ltd. —    Rs. 6,72,722.
2.    M/s Gurukrupa Textiles, 5-A, Vinkar Bhawan, Gandhibagh — Rs. 14,76,806.
3.    M/s Khushi Creation, 5A, Vinkar Bhawan, Gandhibagh — Rs. 85914.
4.    M/s KRS Office & Industrial Automation — Rs. 14,438.
5.    M/s Tina Sales, Ganjakhet Chowk — Rs. 29,070.
6.    M/s Youmax Electronics, Achraj Towers, Chhaoni — Rs. 85,95,098.
7.    M/s Orange Fashion, Law College Square — Rs. 1,50,800.
8.    M/s Mahendra & Sons — Rs. 98,283.

If required, LBT Department will initiate further action as provided under the rules on expiry of stipulated time.

– Rajeev Ranjan Kushwaha(rajeev.nagpurtoday@gmail.com)