While Bahubali has gained fame far and wide, its producers somehow have gained notoriety among the income tax officials which prompted a raid of considerable proportion in the various offices of the producers.
Arka Media house, which is the producing company for the film, owned by Prasad Devineni and Shobhu Yarlagadda, was the target of these visits. Not just the office at Jubilee Hills, but also offices at other locations were among the targets. This has surely startled Tollywood altogether and may impact the film in terms of financial availability. While most people say that the visit was due, it has prompted a widespread panic.
The original reason behind the raids
Initially, the raid was simply equated with the black money issue that has already created some hullabaloo. However, on closer inspection, it was revealed that it was not simply a case of black money. Rather, Bahubali’s release is nearby and its sequel’s demand is already off the charts. Since the producers have recently sold the rights of the sequel internationally and gained nearly thousand crores, income tax officials thought it would be the right time to pay a visit and see the condition. In fact, the raids will continue for days to get a clearer glimpse of the situation.
The detail of the raid
The raid was spread over 30 locations where the offices were including the houses of the producers and their relatives. In fact, one of the distributors was also charged with raid since the income tax officials clearly suspected a larger network. As many as 60 crores have been left unaccounted which demanded an investigation. Some important documents came under scanner and were seized eventually from these offices. The income tax officials are trying to use the demonetization process and its widespread panic to catch more and more people.
Industry under the radar
Since the dealings in the south Indian cinema always occur in huge numbers, Bahubali being a prime example, income tax officials have always considered it to be a zone worth investigating. Most producers think that they are going to be raid too because it has become a pattern. Since the distribution rights have been sold at humongous amounts, it has sparked an interest among income tax people. Such exchange of liquid cash would mean that there could be quite an amount of unaccounted money. In fact, more raids are on the offer in the future.