Mumbai's Benami Billionaire Abu Azmi In The Tax Net
Abu Azmi first shot to the limelight when he was arrested in connection with the 1993 Mumbai bomb blast case and his links to underworld don Dawood Ibrahim. From being a small time travel agent in Mumbai's upmarket Colaba Causeway in the 1970s and 80s, Azmi now represents the Samajwadi party as a member of Legislative Assembly (MLA) in Maharashtra state. In 1995, Azmi was discharged by India's Supreme Court in the 93' blast case but controversies seldom left him. Azmi is now in the tax net of as the Uttar Pradesh income tax department raided his associates and front entities and unearthed hundreds of crores worth of benami properties and named Azmi as a key beneficial owner. Business World reveals the long list of Azmi's hidden properties and his shareholdings in companies owning prime real-estate as per the IT documents.
"For all the properties in Varanasi, Abu Azmi’s name is not officially in the books but he is a shareholder in different ratios," a close aide of Azmi told the tax department during questioning, the documents show.
During the search and raids, IT officials recovered an excel file from the alleged associates of Azmi, where more than Rs 300 crore worth investments were said to his. Those rounded up by the IT during the raids and questioned had phone numbers of Azmi saved in their phone and the officials have recovered several chat messages of the dealings, the documents show.
Benami transactions and properties
Investigations have revealed that Azami is a key beneficial owner and was even involved in back stage management of companies including Vinayak Nirman, Vinayak Vihar. White Pearl, Vijay Trading Company and Osians Dwellings.
One of Azmi's partners in Osians Dwellings confessed to the IT officials that they accepted more Rs 20 crore in cash in the company for sale of properties. Further, he revealed 42 flats belonging to Azmi in Varanasi situated in a real-estate tower known as Varuna Gardens that has nearly 200 flats. Azmi's partner confessed to an undisclosed income of more than Rs 150 crore in various real-estate projects. One of the partners in Vinayak Group, which has built several prime real-estate projects in Uttar Pradesh, confessed to partnering with Azmi since the 1980s and said they together held land and other immovable property at Wazidpur, Varanasi where each of the partners had a 25 percent share.
Azmi's partners revealed that one Mukul Shah was entrusted with responsibility to take stock of Azmi's Businesses and the cash transactions. Anis-ur-Rahman Azmi, another aide of Azmi confessed to Rs 40 crore worth of cash transactions in Tower C of Vinayak Plaza, a residential project in Varanasi. Shah confessed to have collected Rs 4 crore in cash on behalf of Azmi in relation to transactions in Vinayak Vihar. Confessions also revealed that one Mehboob Bhiwandi (linked to Samajwadi Party youth leader Mehboob Sheikh) had received huge cash from sale of flats at Bhiwandi project, situated on the outskirts of Mumbai.
" Findings (show) that even though Shri Abu Asim Azmi is not officially a partner or shareholder in the Vinayak Nirman Group or its businesses, he is actually a full-fledged working partner, shareholder and a beneficiary in the businesses of the group and in the profits. Azmi is very much involved in all the decisions or transactions of the Business, sale or purchase of properties of the group, he is part of the regular meetings held in regard to the day-to-day business of Vinayak Nirman Group and others," documents related to IT investigations revealed.
How Azmi dodged questioning by IT officials
Azmi dodged several summons by the tax officials. He was asked to be present for questioning by the Varanasi tax department March 6, 2023 but he first requested the details of the copy of statement of the person wherein his reference was made with the group and also requested to adjourn the hearing for 15 days. He then submitted his reply on April 24, 2023 stating that the statements provided to him are voluminous and he requires some time to go through them and requested to adjourn the hearing.
Thereafter, another summons July 3, 2023 was issued to him but he told the IT officials that he had no relation with any of the key members (who were questioned and raided by IT) and requested another adjournment for 15 days. After 15 days, he again said that he was unable to appear for recording of his statement.
According to IT officials, the undisclosed income is much higher than what has been disclosed by Azmi and his associates. His house was not raided, but IT searchers were mainly focused on his business empire, companies and partners in commercial ventures.
IT sleuths carried out their search and seizure operations for three days at the properties of Azmi situated near Taj Mahal Hotel in Mumbai’s Colaba area. Raids were also conducted at the infamous Kamal Mansion. In the 1980s and up to early 2000, the area behind Taj Hotel where all the old Mansions are ensconced cheek-by-jaw was a den of prostitution and Kamal Mansion was often under a cloud. IT raids were also conducted for four days at several properties, belonging to close aides of Azmi, at Banaras. Sandeep Doshi, Abha Ganesh Gupta and Sarvesh Agarwal are the three others whose properties and companies were raided by the IT. All three, who were grilled rigorously, are believed to be close to Azmi and as his business associates.
"Azmi has been evasive in giving any explanation to the queries raised regarding the unofficial ownership and profit reaping, and is also escaping from the statement under oath to be recorded despite been given multiple opportunities. Also, the key members, who during the search & seizure proceedings very clearly confessed about the complete involvement of Shri Abu Asim Azmi in the Vinayak Nirman Group & its businesses, have all submitted a retraction affidavit now claiming otherwise. This is naturally suspicious and might have been done under the influence and undue pressure from Shri Abu Asim Azmi," said the provisional order from the IT.
List of properties where Azmi has benami holdings as per IT
Land
Vazipur - 200 Bigha
Saghuna - 200 Bigha
Babatpur Main Road - 1.5 Bigha
Katholi - 164 Bigha
Badohi Road - 130 bigha
Land Behind Varuna Gardens - 40 Bigha
Maldhaiya Land
Land at Latora - 5 Bigha
Investment in property at Shahu Benia Locality
Investments in Vinak Vihar
Village Gondaranmu Patwari, Halak No. 4, Bhopal
Mouje Nagaon, Bhiwandi, Thane
Investments in other lands as per excel files totaling to more than Rs 321 crore.
Building Projects
Varuna Gardens
Vinayak Plaza - 35,400 sq.ft.
Plaza Tower C
Vijay Raman Katra
Sahapuri Mall
Vinayak Platina
Flats
Harija - 288 Flats
Lanka - 3 Flats
Vinayak Vridanvan - 100 Flats
(Opp. Ghoda Hospital)
