Kailash Chand Gupta, owner of Musaddilal Jewellers, and his brother-in-law Naredi Narender Kumar were arrested by Central Crime Station (CCS) officials on December 27. The two, along with Kailash’s younger son Nithin Gupta, who is absconding, created fictitious advance receipts of gold to the tune of about Rs.100 crore on November 8 to legitimise black money.
According to Avinash Mohanty, Deputy Commissioner of Police (DCP), CCS, Kailash along with his sons Nithin, Nikhil, daughter-in-law Neha and others decided to create the receipts after the Centre announced demonetisation of Rs. 500 and Rs. 1000 currency notes. After Income Tax officials raided offices of Musaddilal Jewellers, Narender provided shelter to Kailash at his residence at Manikonda and at his factory at Auto Nagar, concealing the latter’s whereabouts.
Kailash runs three firms at Road No.2, Banjara Hills, under the names Musaddilal Jewellers Pvt. Ltd., Musaddilal Gems and Jewellers Pvt. Ltd and Vaishnavi Bullion Private Limited, along with his sons and younger daughter-in-law Neha Gupta and another woman named Vinutha Bholla as directors.
After the announcement of demonetisation, Kailash along with his family members generated 3,100 fake advance payment receipts totalling to Rs. 57.85 crore under Musaddilal Gems and Jewellers Pvt. Ltd. About 2,100 bills to the tune of another Rs. 40 crore were generated under the name of Vaishnavi Bullion Private Limited through computer-generated receipts.
When CCS officials enquired with one of the customers under whose name a bill was generated, she told them that she never purchased nor visited the shop on November 8. All the receipts were generated between 8 p.m. and 12 midnight after demonetisation was announced.
