Waaree Energies Faces Investigation From Income Tax Department
Waaree Energies Ltd. reported that its offices and facilities received visits from the Income Tax Department to conduct investigations under the Income Tax Act, 1961.
Waaree Energies Ltd. reported on Tuesday that its offices and facilities received visits from the Income Tax Department to conduct investigations under the Income Tax Act, 1961.
"The proceedings are underway and the company is extending its full cooperation to the officials," the exchange filing from the company said.
The Income Tax Act is the main income tax legislation that dictates how income tax is to be collected, levied and administered.
According to some reports, the Income Tax department undertook a 'search and seizure' operation on Waaree Energies factories and offices. This was undertaken by close to 25 teams from Mumbai, Chikhli and Vapi starting with the company's 5.4 GW solar cell gigafactory in Chikhli.
Reports cited senior industry observers who termed the search and seizure operations "unprecedented" in scale and said that it displayed the amount of information the department had and the gravity of their investigation.
The department reportedly searched the residences/premises of the company's Chairman and Managing Director Hitesh Doshi and his brother Kirit Doshi in Vapi.
Reports cited those familiar with the matter who stated that the focus of the investigation is on financial records, transactions, and any irregularities linked to operations and expansion activities.
The teams are reportedly going through digital records, documents, and asset information.
Shares of Waaree Energies closed 0.39% lower at Rs 3,281.90 apiece on the NSE, compared to a 0.4% fall in the benchmark Nifty. The stock had risen 14.97% on a year-to-date basis.
Out of 10 analysts tracking the company, seven have a 'buy' rating on the stock, and three suggest 'sell', according to Bloomberg data. The average 12-month analysts' price target implies a potential upside of 10.3%.
