Kozhikode: Dramatic scenes unfolded at SM Street on Friday after a group of officials from the GST Department raided shops alleging tax evasion.
Irked with the raid, vendors locked some of the officials inside a shop triggering a commotion in the busiest shopping street in the city.
GST officials initiated the raid after finding irregularities in the records of 25 shops locates at SM Street, Thiruvannur and in Space Mall at Arayidathupalam. Sources told Onmanorama that these shops are owned by one Ali and his partners. "One of his partners is in jail for another case. We believe the raid was initiated after he spilled the beans about the partnership's operation," a trader, who did not want to be identified, said.
Some of the shops owned by the partnership do not function, and officials believe they were used to evade taxes.
GST Intelligence deputy commissioner Ashokan told reporters that tax worth Rs 27 crore was evaded by these shops. He said 50 officials are involved in the operation. Officials raided eight shops on SM Street.
"They are involved in selling goods bought from Gujarat and Rajasthan. We initiated the search after noticing that some of the shops were evading GST by producing fake bills. The search resumed after the protest of the vendors. The action was initiated against only those shops that evaded tax. We do not raid vendors who pay tax and keep documents properly,” he said.
Ashokan told Manorama News that six officials were locked inside the shop.
Police also reached the spot and intervened to keep the situation in control. Vendors promised the police that they would cooperate with the raid, reported Manorama News.
Meanwhile, representatives of the Kerala Vyapari Vyavasayi Ekopana Samithi (KVVES) rubbished the reports that vendors locked officials inside a shop.
"As it is a Friday, we have to go to the mosque for Juma. We downed the shutters after informing the officials that we would cooperate with the raid once we return from the mosque," said a KVVES member.
