Commercial Taxes Dept Raids 25 Hyderabad Sites, Busts Pan Masala Unit Near Barkas

The Telangana Commercial Taxes Department inspected 25 premises across Hyderabad on Tuesday, uncovering an unauthorised pan masala manufacturing unit operating inside a residential building at Errakunta near Barkas.
Acting on specific intelligence regarding the illicit production, storage, and distribution of tobacco commodities, enforcement teams conducted coordinated searches across the city. At the Errakunta residential premises, officials discovered an active manufacturing setup containing substantial quantities of raw materials, processing chemicals, and related production equipment.
Inspectors also seized large volumes of counterfeit packaging material printed with the brand names and logos of several well-known pan masala labels, including RMD, Goa 100, Badshah, Zaffrani Gold, and Vimal Pan Masala. All machinery, packaging supplies, and finished tobacco products found on site were confiscated by the raiding teams.
Alongside the operation in Barkas, department officials carried out parallel inspections at commercial and storage facilities in Begum Bazaar, Feelkhana, Tolichowki, Golconda, Bada Bazaar, Langar Houz, and Babanagar. During these searches, authorities detected and seized additional unaccounted consignments of pan masala and various other tobacco products held without proper documentation.
Department officials confirmed that a comprehensive investigation is underway to trace the supply chain, uncover the source and movement of raw materials, identify the broader distribution network, and assess the total scale of tax evasion involved. Authorities stated that proceedings will be launched under the provisions of the Telangana Goods and Services Tax Act, 2017, the Central Goods and Services Tax Act, 2017, and other applicable legal frameworks.
The Commercial Taxes Department warned manufacturers, distributors, wholesalers, and retailers dealing in pan masala and related goods to adhere strictly to statutory tax requirements and maintain clear, verifiable records and accounts. Officials cautioned that stringent penal action will be taken against anyone participating in clandestine manufacturing, hoarding unaccounted inventory, or suppressing taxable business transactions.