The arrest of actor Dileep-who is also believed to be one of the richest actors in the industry- in connection with the abduction and assault on a woman actor, has led to his business relations and money transactions coming under the scanner.
Now, the financial dealings of Association of Malayalam Film Actors (AMMA) has also come under the scanner.
The income tax department has unearthed irregularities in the tax returns filed by AMMA, reports Times Of India.
For the year 2011-2012 and 2014-2015, according to the income tax assessments, the income gained through conducting stage shows were passed off as donations made by two prominent Malayalam channels as charity to AMMA.
According to reports, AMMA marked the income attained through the stage shows - Rs 2.05 crore in 2011-12 and Rs 6.10 in 2014-15 as donations.
The funds were given in return for the performance of its members in stage shows which were conducted in association with the television channels, the report states.
The association had approached the income tax appellate authority against the income tax report. AMMA, touted to be the most powerful association of the industry also managed to get a High Court stay on legal procedures. The stay included the recovery of the amount, the report states.
AMMA activities are not for charitable purposes. They are not eligible for tax exemption as per the IT ACT. The activities are not eligible for exemption under sections 11,12 and 13 of the Act, it says.
The report also points out that AMMA has engaged in activity which won't come under the natures of charity, but is commercial. The activity that seizes to be charitable as the receipts from the activity exceeds Rs 10 lakh.
AMMA's defensive stand for actor Dileep prior to his arrest had garnered widespread criticism. However, following his arrest, the association expelled Dileep.