Hyderabad: The Income Tax Department’s investigation unit in Hyderabad has seized gold worth nearly Rs 1 crore from Yadgiri Chinna Goud, also known as Dargah Chinna Pahilwan, in a case linked to unexplained income.
Officials said he was found in possession of around 900 grams of gold ornaments, of which approximately 700 grams were identified as unaccounted and seized. Around 150–200 grams were returned for personal use. Authorities stated that he failed to satisfactorily explain the source of income used to acquire the gold.
First case under new income tax law
The case assumes significance as it marks the first action taken under Section 247 of the Income Tax Act, 2025, which came into effect on April 1, replacing the 1961 law. Earlier, such search and seizure operations were conducted under Section 132 of the previous legislation.
Officials said the new provision was invoked after preliminary findings indicated undisclosed income linked to assets in possession.
Probe triggered through social profiling
According to officials, the investigation was initiated through social profiling. The department tracked Chinna Pahilwan’s public appearances, including interviews on television and YouTube, before proceeding further.
During questioning, he reportedly admitted that the gold was unaccounted for and estimated its value at around Rs 1 crore. He attributed his wealth to rental income and land dealings, but investigators found these claims inconsistent with available financial records.
Income claims raise questions
Officials said only one income tax return filed by him showed an annual income of about Rs 4 lakh. He is said to have claimed rental income and earnings from land transactions, many of which were allegedly cash-based.
Authorities suspect he was involved in purchasing land through General Power of Attorney (GPA) agreements and reselling it at higher prices, with the margin reportedly taken in cash.
Family finances also under lens
The department is also examining the financial background of his family members. One relative is said to be a tech professional working abroad, while another has reported income from operating a girls’ PG hostel.
Public persona and local presence
Chinna Pahilwan, a local figure in the Gachibowli area, has built a visible public persona through social media, often showcasing his properties, lifestyle, and heavy gold jewellery. He has also appeared in “home tour” videos and participates in local events.
Officials said further investigation is underway to examine undisclosed income and financial dealings linked to the case.
