Polycab's shares fell 7% after news of Rs 200 crore tax evasion
On January 9, Polycab's stock fell more than 7% due to rumours of tax cheating of Rs 200 crore. Sources claim that the income tax agency found transactions recorded in the promoter accounts of the company totaling between Rs 250 and Rs 300 crore. Apart from the search, the IT department stated that for the previous 5-6 years, they had gathered evidence of tax evasion from the company's account.
The income tax department had conducted raids across 50 locations of Polycab on December 22.
The company, however, denied such claims. In an exchange filing that happened after market hours, the company said they received no communication from the I-T department on the outcome of the search done in December. They added that the company responded to the clarifications and details asked by the income tax department after the search.
Polycab India has 23 manufacturing facilities, 15 offices and more than 25 warehouses across the country. The company manufactures cables and wires along with FMEG (Fast Moving Electrical Goods). In the quarter ended in September 2023, Polycab reported a 58.5 percent growth in consolidated net profit to Rs 436.89 crore. In the last one month, shares of Polycab India have tanked 12 percent with 6 percent only after the December 22 raids.
See What’s Next in Tech With the Fast Forward Newsletter
Tweets From @varindiamag
Nothing to see here - yet
When they Tweet, their Tweets will show up here.
