The Investigation Wing of the Income Tax Department has uncovered that black money worth ₹2,700 crore was routed abroad from Kerala over the past five years through a single private bank. The illicit transfers were made by misusing the repatriation facility available to NRI account holders and under the pretext of arranging foreign tour packages.

Investigators suspect that unaccounted wealth amassed by narcotics rackets, smugglers and other black money operators may have also been funnelled through this bank. Since the transactions were executed by evading taxes, using forged documents and manipulating financial records, the IT Department believes the entire amount transferred qualifies as black money.

From Kerala alone, approximately ₹2,700 crore was sent abroad through around 65,000 transactions, facilitated by about 50 referral agents. A significant portion of the money was directed to the UAE, with other destinations including Germany and the UK.

Authorities have observed a sharp surge in such outflows in recent years. In the 2024–25 financial year alone, transactions worth ₹914 crore were carried out through this single private bank , with Rs. 730 crore moved in just two months.

In one instance, a single referral agent was found to have transferred ₹553 crore abroad during the same financial year. Similar high-volume transactions have been noted through a few other private banks as well.