Hyderabad witnessed a major enforcement action today as the Income Tax Department carried out large-scale raids on three of the city’s most popular biryani and restaurant chains — Pista House, Shah Ghouse and Mehfil.
According to initial reports, IT officials conducted simultaneous search operations across 30 locations, including corporate offices, key outlets, warehouses, and the residences of the owners and senior management teams.
What Triggered the Raids?
The investigation focuses on suspected tax evasion, including:
* Undisclosed cash transactions
* Suppressed sales turnover
* Discrepancies between declared income and real earnings
* High-volume online orders not fully reflected in official records
Officials have reportedly seized financial documents, computers, hard drives, and digital records for detailed examination.
Major Brands Under the Scanner
Pista House, known for its Haleem and wide franchise network, is being examined for seasonal revenue patterns and multi-outlet transactions.
Shah Ghouse, a favourite for biryani and kebabs, faces scrutiny over high online-delivery sales, branch-wise revenue, and cash handling.
Mehfil, one of the fastest-growing chains in the city, is being checked for rapid expansion, franchise income, and accounting practices.
Why This Matters
This is one of the biggest IT actions on Hyderabad’s food industry in recent years. The raids signal stronger oversight on businesses with huge daily footfall, multiple branches, franchise flows, and heavy online delivery traffic.
What Happens Next?
The documents seized will undergo forensic audit in the coming days. Any confirmed discrepancies may lead to tax demands, penalties, or further legal action against the companies involved.
Meanwhile, all the restaurant outlets continue to operate, and no closures have been announced.
Impact on Hyderabad’s Food Sector
The raids are likely to push many restaurants — big and small — to tighten financial reporting, maintain cleaner books, and ensure compliance with GST and income-tax norms.
For customers, this development may raise questions about transparency in billing, pricing and accountability among major food brands.
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