ORG Informatics alleged to have evaded income tax in India

shailesh agarwal (professional accountant) (7642 Points)

30 March 2009

MUMBAI, Mar 24, 2009 (Asia In Focus via COMTEX) -- IFCPF | Quote | Chart | News | PowerRating -- IT firm ORG INFORMATICS (BSE:517195) on Tuesday said it has received an order from India's income taxdepartment to attach its immovable property for alleged tax evasion of Rs 6.03 crore (US$1.19 million). "The company is in receipt of an 'order of attachment of immovable property' of the company from the tax recovery officer... as the company has failed to pay the sum of Rs 603.34 lakh income tax demand," ORG Informatics informed the Bombay Stock Exchange.

* In this respect, the company clarified, that against the total amount of Rs 6.03 crore, Rs 3.25 crore is appealable demand and the company has already filed an appeal with income tax appellate tribunal.

* ORG Informatics, however said that it has communicated to the income tax department about its inability to pay due to temporary cash crunch as huge amount have got stuck, with receivables increasing from Rs 98 crore at the end of fiscal 2006-07 to Rs 279 crore by the end of January this year.