The central government had sometime back created a

special task force of investigative agencies like ED, Income Tax department, SFIO, Directorate of Revenue Intelligence and others, in this regard.

The task force is headed by the two Secretaries of the Department of Revenue and Corporate Affairs under the Union Finance Ministry.

Shell companies can be defined as those entities which are characterised by nominal paid-up capital, high reserves and surplus on account of receipt of high share premium, investment in unlisted companies and no dividend income.

Also, shell companies are identified as those with high cash in-hand, private companies as majority shareholders, low turnover and operating income, nominal expenses, nominal statutory payments and stock in trade and minimum fixed asset.

(This article has not been edited by DNA's editorial team and is auto-generated from an agency feed.)