Himachal Pradesh’s state tax department conducted a raid at Adani Wilmar after receiving reports of GST violations

The Himachal Pradesh State Excise and Taxation department conducted a raid on Adani Wilmar Group. Following claims of GST irregularities, the GST officials reportedly paid a visit to the Adani Wilmar Group offices in the state.
Raids allegedly took place on Adani Wilmar at Parvanoo by the state tax department of Himachal Pradesh. On Wednesday, February 8, late at night, GST representatives paid a visit to the Adani Wilmar Group offices. According to TV reports, the company was allegedly accused of not paying GST for the previous five years when the raids were conducted. Concerning the company’s claims for input tax credits related to state operations, the tax agency has requested details. According to reports, GST representatives arrived and examined the necessary paperwork. Yet it is unknown what will happen in the end after this visit. On the NSE, shares of Adani Wilmar increased 5% to reach the upper circuit at Rs 439 each.

Adani Wilmar’s third-quarter net profit increases 16%
In Himachal Pradesh, the Adani Group operates seven businesses, ranging from the delivery of supermarket goods to cold storage for fruits. A 50:50 joint venture between the Indian corporate powerhouse Adani Group and Singapore-based Wilmar, Adani Wilmar sells its cooking oils and other culinary items under the Fortune brand. The company’s consolidated profit increased by 16% to Rs 246.16 crore as of the 8 February when it released its results for the December quarter. Its operating income, when combined, increased by 7% year over year to Rs 15,438 crore.

Scrutinized Adani group companies
After a report from US-based short seller Hindenburg Research claiming fraud, the Gautam Adani-led Adani Group and its companies have come under close scrutiny. Many have taken notice of the charges, which caused a $120 billion drop in the market value of the Adani group companies in less than seven days. This includes market regulators, banking regulators, and Indian and foreign indices. Adani Group equities have seen some rebound in the recent two sessions after assurances from Gautam Adani multiple times over the past several days.