CCD Founder Admits to Rs 650 Crore Undisclosed Income: I-T Dept

I-T department says undisclosed income could be more than Rs 650 crore.

VG Siddartha. 

(Photo Courtesy: The Quint)

Income Tax Department, in an official statement said that following the raids on VG Siddartha, owner of Cafe Coffee Day and son-in-law of former External Affairs minister SM Krishna, which ended on Sunday, he admitted to having more than Rs 650 crores of undisclosed income.

“The searches in a group involved in coffee, tourism, information technology and other areas concluded, with an admission of previously concealed income exceeding Rs 650 crore. The detection of undisclosed income is expected to be a much higher figure,” read an official communication from Income Tax Department.

I-T department said that evidence to prove violations have been obtained and they will be ‘pursued effectively with vigour’.

Over the past three days, over 25 locations in Bengaluru, Mumbai, Chennai and Chikmagalur were searched by the I-T department. The main location of the raids was the CCD office in Vittal Mallaya Road in central Bengaluru.

The head office of CCD, where I-T sleuths were conducting raid. (Photo: The Quint)

Siddartha’s prime venture CCD is one of the largest coffee shop franchises in the country with over 1,550 stores, around 31,000 vending machines and 12,000 corporate accounts. The coffee chain has outlets in many international locations including outlets in Prague, Vienna and Kuala Lumpur. SM Krishna had recently left the Congress party and joined the BJP.