#gsquareitraid

In April 2023, G Square Realtors, one of India’s leading real estate companies, faced an IT raid as part of a nationwide investigation into tax compliance in the real estate sector. The raid sparked controversy, media speculation, and political allegations. However, G Square’s Managing Director, Bala Ramajeyam, quickly clarified the situation to dispel rumors and uphold the company’s reputation.

Routine IT Raid for Compliance

The G Square IT raid, conducted on April 24, 2023, targeted the company’s offices in Tamil Nadu, including Chennai, Coimbatore, Trichy, and Hosur. According to Ramajeyam, this was a routine compliance check, part of a larger operation addressing tax evasion in the real estate sector.

“These inspections ensure transparency and compliance. Similar raids have been conducted across other real estate companies in India,” said Ramajeyam.

The company emphasized its full cooperation with the authorities and its commitment to ethical practices, stressing that the raid reaffirmed its adherence to the law.

Addressing Political Allegations

After the raid, rumors surfaced linking G Square to the DMK political party. Ramajeyam categorically denied these claims, clarifying that the company had no political affiliations.

“The investigations proved there are no links between G Square and any political party. Allegations of our valuation being Rs. 38,000 crores are baseless and malicious,” he added.

Refuting Media Claims of Seizures

Several media outlets reported that Rs. 3.50 crore was seized during the raid. However, Ramajeyam refuted this, stating that no funds were confiscated. He urged the public to trust official IT department records, which confirmed there were no seizures.

G Square’s Contributions to the Economy

Amidst the controversy, G Square highlighted its positive impact on the economy.

Employment: Over the last 15 years, the company has generated 33,000+ direct and indirect jobs.

Tax Contributions: G Square contributes Rs. 1,000 crore annually in taxes, including income tax, GST, and stamp duties.

These figures demonstrate the company’s significant role in supporting India’s economy.

Commitment to Transparency

The IT raid, rather than tarnishing G Square’s image, has reinforced its dedication to transparency and ethical business practices. Ramajeyam’s statements, backed by official findings, clarified misconceptions and bolstered the company’s credibility.

Conclusion

G Square Realtors, a prominent real estate company, has addressed the Income Tax (I-T) raids that took place over a week ago. The company’s Managing Director, Bala alias Ramajeyam, issued a statement clarifying that the I-T investigation has "conclusively" debunked all allegations, including false claims about their net worth and political connections.

The raids, which occurred at G Square Realtors' offices nationwide, were part of an ongoing inquiry into allegations of tax evasion. According to Ramajeyam, the investigation "unequivocally proves" that G Square has no affiliation with any political party or its members. This statement comes in response to accusations made by Tamil Nadu BJP chief K. Annamalai, who as part of the ‘DMK Files’ campaign, suggested that G Square Realtors was linked to the DMK party and had a reported revenue of Rs 38,827 crore.

Ramajeyam also dismissed media reports claiming the seizure of Rs 3.50 crore during the raids, describing these reports as "baseless" and "misleading." He emphasized that such allegations could be easily verified with the tax authorities. "These claims are intended to tarnish our reputation, but we are confident in the integrity of our operations," he added.

G Square clarified that the I-T searches were routine, noting that similar inspections had been conducted on other real estate companies across India in recent months. The raids, which began on April 24, targeted over 50 locations across Tamil Nadu, including Chennai, Coimbatore, Trichy, and Hosur. Additionally, a raid was carried out at DMK MLA M.K. Mohan’s residence.

In response to further comments made by BJP Vice President Narayanan Thirupathy regarding the company’s rapid growth, G Square reiterated that their rise to prominence was based on legitimate business practices. The company thanked those with "malafide intentions" for bringing attention to the matter, stating that the unwarranted actions had only strengthened the company’s resolve. "These challenges have helped us grow into a powerful national brand," said Ramajeyam.

G Square Realtors also highlighted its significant contributions to the economy, noting that over the past 15 years, the company has provided direct and indirect employment to 33,000 individuals. The company contributes nearly Rs 1,000 crore to the state exchequer in the form of income tax, GST, and stamp duties.