I-T raids hotel chain of former IAS officer

Sanjay Gupta,a 1985-batch bureaucrat,had resigned after Narendra Modi took over as chief minister in 2001. He was reportedly unhappy with Modi’s style of functioning and his transfer to an insignificant department — Gujarat State Sangeet Natak Academy.

IT officials said the search operations were being conducted at 20 premises of Cambay Group of Hotels and Resorts at Ahmedabad,Jaipur,Udaipur,Goa,Kollam,Gurgaon,Lucknow,Bangalore and Mumbai.

They said a large number of incriminating documents indicating unaccounted transactions of the group were seized,which are now being analysed. Several lockers belonging to the group were also sealed,they said. IT officials added that preliminary investigations have revealed vast gap in income and investment,implying unaccounted assets. Any unaccounted assets will be taxed,they said.

A pro-active officer,Gupta is credited with transforming the Gujarat State Petroleum Corporation Limited (GSPCL) into a blue-chip company. GSPCL is the only state government-owned petroleum company in India that has brought laurels to the state government through oil and gas exploration in the Krishna-Godavari Basin.

Gupta and another senior IAS officer Vijay Ranchan were also instrumental in reforming Gujarat Electricity Board during the tenure of Keshubhai Patel. Based on the work of these two officers,GEB was split into five different companies to check losses.

After quitting his government job,Gupta,a civil engineer from IIT Roorkee,joined the Adani Group as its chief executive officer. He later launched his own business of hotels and resorts: first at Gandhinagar and then expanded it to Ahmedabad and other cities. The Cambay Group is operated by Neesa Leisure Limited (NLL).

According to company’s website,there are plans for 15 hotels,resorts,convention centres and residency apartments in major cities in India by 2012. The group’s main focus in on spa,golf and club facilities.