Dolo-650 company accused of distributing freebies worth Rs 1,000 crore

The makers of Dolo-650 have been accused of indulging in “unethical practices and distributing freebies worth Rs. 1,000 crore to doctors and medical professionals to promote the company’s products.

According to the Central Board of Direct Taxes (CBDT), the group had been debiting unallowable expenses in its book of account to distribute freebies to medical professionals. The freebies include travel expenses, gifts etc.

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These claims made by the CBDT come after the Income Tax department on July 6 raided 36 premises in nine states, of Bengaluru-based Micro Labs Ltd.

The CBDT, the administrative body of the I-T department, in a statement said the department had seized unaccounted cash of Rs. 1.20 crore along with gold and diamond jewellery worth Rs. 1.40 crore.

Also Read: I-T department raids makers of Dolo-650 in Bengaluru

“During the course of the search operations, substantial incriminating evidence, in the form of documents and digital data, has been found and seized,” the CBDT said according to a report in Business Standard.

Micro Labs Ltd., however, did not respond to allegations.