J-K bank case: Income Tax dept initiates action; conducts raids

Tribune News Service
Srinagar, June 11

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Income Tax department raided the private offices of the Deputy Mayor of the Srinagar Municipal Corporation in Srinagar on Tuesday. 

The IT department sleuths raided the private office of Sheikh Imran at Bohri Kadal locality of Old City and Sangarmal Shopping Complex.

The raids followed Anti Corruption Bureau raid on J&K Bank which had described Imran a defaulter in a multi-crore loan.

Imran recently joined People's Conference, an ally of BJP in Jammu and Kashmir.

IT department officials said some material and incriminating documents have been recovered during the search. 

They alleged that the Kehwah group, with Imran as its chairman, is facing default proceedings after 23 of its accounts with the J-K Bank were declared non-performing assets for dues of over about Rs 120 crore.

The I-T Department suspects wrongdoings and alleged financial irregularities and hence raids are being conducted to obtain further leads, evidence and documents, the officials said.

The action comes in the backdrop bank's chairman Parvez Ahmed being removed after charges of alleged involvement in corruption, nepotism and favouritism were reported against him. 

Referring to the ACB proceedings against Ahmed, a government official told PTI earlier this week on the condition of anonymity that investigation into alleged backdoor appointments, "irregularities, loot and plunder" is intended to cleanse the system at the bank.

The state government holds 59 per cent stake in the J&K Bank.

After his removal, Ahmed in a Twitter post said he has absolutely no regret over his work and that he did his job "most diligently, honestly and in the best interest of the institution".

Loans worth hundreds of crores were allegedly allotted without formalities in "brazen violation" of Standard Operating Procedures or guidelines to select recommendees of two politicians, the official had said. — with PTI