I-T dept raids IIFL Finance, related entities over alleged tax evasion
New Delhi, Jan 29, 2025
In a stock exchange filing, IIFL Finance confirmed the ongoing tax searches and stated that it is fully cooperating with the authorities
The Income Tax (I-T) department has launched a search operation at the offices of IIFL Finance Limited and related entities, including 360 ONE WAM (formerly IIFL Wealth) and IIFL Securities, according to a report by The Economic Times. The raids, which began on January 28, 2025, are reportedly linked to allegations of tax evasion.
According to the report, the searches were carried out by the Mumbai investigation wing of the I-T department and targeted multiple locations, including IIFL's registered office and several floors of the 360 ONE WAM building at Kamala Mills. The report suggests that premises linked to Karan Bhagat, Founder and CEO of 360 ONE WAM, were also covered in the operation.
In an official statement to stock exchanges, IIFL Finance confirmed the ongoing tax searches and stated that it is fully cooperating with the authorities. However, the company did not disclose specific details about the nature of the investigation or any possible violations. The financial impact of the raids remains uncertain.
Amid the developments, 360 ONE WAM’s stock fell by 5.72 per cent on the NSE and 5.17 per cent on the BSE, closing at Rs 1,015 and Rs 1,019.60 per share, respectively. Meanwhile, IIFL Capital rescheduled its board meeting for third-quarter results, citing "certain exigencies."
The I-T Department is expected to continue the searches for the next few days. Once completed, a report will be prepared and shared with the tax assessment wing to determine any pending tax liabilities.
360 ONE WAM's name has previously appeared in allegations related to Sebi Chairperson Madhabi Puri Buch and her husband Dhaval Buch, as highlighted in a report by Hindenburg Research.
[The Business Standard]