Published Mar 05, 2024 | 4:28 PM ⚊ Updated Mar 05, 2024 | 4:28 PM
Narayana Group directors Puneeth, and Sindhu. (Supplied)
In the midst of a case filed against Narayana Educational Institutions and NSPIRA Management Services by the Nellore District Transport Commissioner for tax evasion and the use of counterfeit documents under the Motor Vehicle Act, the Nellore Police orchestrated surprise raids on the residence and offices of one Puneeth Kothapa.
The result? A whopping ₹1.81 crore of unaccounted cash was seized.
Puneeth Kothapa is the Managing Director of NSPIRA and the President of the Narayana Educational Society Management Committee. He is also the son-in-law of former TDP minister Ponguru Narayana, who is now the TDP contestant from Nellore.
The NSPIRA Management Company, affiliated with the Narayana Education Society, has been operational since 2013, with its primary goal of providing outsourcing services to the Narayana Educational Society for various business transactions.
During a press conference in Nellore on 4 March, Nellore SP Dr K Tirumaleswara Reddy revealed that NSPIRA Management Services had made a hefty purchase of 92 buses, amounting to over ₹20.68 crore, in Hyderabad in July and August 2023.
Upon scrutinising the tax invoices, officials from the District Transport Commission unearthed that NSPIRA had claimed an input tax credit of ₹4.48 crore.
According to NSPIRA’s records, these 92 vehicles were leased to the Narayana Educational Society and tagged as permanent assets of NSPIRA. However, a twist emerged during a check of vehicle registration documents — all the vehicles were registered under the name of Narayana Educational Society, not NSPIRA.
The police allege that NSPIRA intentionally manipulated the GSTIN details, registering all vehicles under the Narayana Educational Society. Despite being the actual buyer, the company misleadingly registered the vehicles under the name of the educational society to benefit from a “Lower Taxation Slab” for educational institutions, the police statement noted.
The statement also accuses Narayana Educational Society of paying rent for all 92 vehicles, creating a facade of a business transaction between the two entities. Police allege that Puneeth and his wife, Sindhura, orchestrated this to divert benefits from Narayana Educational Society to NSPIRA, and siphon funds to their own company.
During the search raids, a staggering ₹1.81 crore of unaccounted cash was seized, prompting further investigations, as confirmed by the police.
In response, Vijaya Bhaskar Reddy, the General Manager of the Narayana Group, dismissed the police’s allegations in a press conference in Nellore.
He claimed the accusations were politically motivated and baseless, suggesting a pattern of harassment against Narayana employees and TDP workers. He added that the police conducted raids on properties of Narayana employees and TDP workers first under the guise of anti-drug patrolling and now under the Motor Vehicle Act.
Reddy contended that the police could have issued a notice instead of resorting to sudden raids. He added that Puneeth had clearly stated that NSPIRA had purchased the vehicles.
