The Income Tax Department has raided the premises of Pawan Munjal, chairman of Hero Motocorp, the world’s largest two-wheeler company. The Income Tax Department is also raiding the premises of Munjal as well as other top officials of the company. Munjal is accused of financial irregularities. Hero MotoCorp has more than 50 per cent share in the country’s two wheeler market.
According to ANI, the Income Tax Department team is conducting a search operation at Munjal’s office and house in Gurgaon. Hero MotoCorp does business in more than 40 countries of the world. Hero MotoCorp shares fell sharply after the news of the raid. The company’s stock fell two per cent to below Rs 2,380. Its effect is also visible on other companies in the auto sector. Shares of Maruti, Bajaj Auto and TVS Motor also fell up to 1.5 per cent.
Earlier, the Income Tax Department had raided the premises of a well-known real estate company in North India. Raids were conducted at 45 locations in Delhi-NCR, Chandigarh, Ludhiana, Lucknow and Indore. In this, more than Rs 25 crore cash and jewelery worth Rs 5 crore was found. After this, raids have been conducted on Munjal’s places.