The Income Tax Department conducted a raid on Parle Products Pvt Ltd, the manufacturer of Parle-G biscuits, at its Vile Parle facility in Mumbai on March 7. The raid, which is still ongoing, is being led by the Foreign Assets Unit and the Investigation Wing of the Income Tax Department. The exact reason for the search has not been disclosed, but the central agency’s economic wing is scrutinizing the company’s financial documents.
The raid is not limited to the Mumbai facility, as the company’s offices and factories in Gujarat’s Kutch are also being searched. The Income Tax Department is examining the company’s financial records, but the details of the investigation are still awaited.
Parle Products, established in 1929, is a well-known manufacturer of biscuits and other food products. The company’s name is derived from the Vile Parle locality in Mumbai, where it was founded. Parle-G, one of the company’s most popular brands, was introduced in 1938 and has since become a household name in India.
The company has seen significant financial growth in recent years. According to reports, Parle Biscuits’ profits more than doubled from Rs 743.66 crore in FY23 to Rs 1,606.95 crore in FY24. The company’s operating income increased by 2% to Rs 14,349.4 crore in 2018-19, while overall revenue grew by 5.31% to Rs 15,085.76 crore.
The raid on Parle Products has raised questions about the company’s financial dealings and tax compliance. While the exact reasons for the search are still unknown, the Income Tax Department’s investigation is likely to shed more light on the company’s financial affairs. The raid is a significant development in the Indian business world, and more details are awaited as the investigation continues.
It is worth noting that the Income Tax Department conducts raids and searches on companies and individuals to uncover tax evasion and other financial irregularities. The department has the power to search and seize documents, records, and assets in the course of an investigation. The raid on Parle Products is a reminder that companies and individuals must comply with tax laws and regulations to avoid scrutiny from the authorities.