The Income Tax authorities today conducted raids on illegal Dabba traders in the city and Nagpur and claimed to have busted many such trading centres by arresting these traders.
The officials of the market watchdog Sebi and the leading bourse NSE also participated in the raid, according to sources at the Income Tax Department here.
Dabba trade, which is illegal, is carried out offline. The difference between Dabba and the stock exchange trade is that unlike in stock exchange trading, the investor's trades do not get executed on the exchange system but in the Dabba operator's books only.
I-T sources added that they have made a few arrests in Mumbai and Nagpur during the raids. However, more details could not be elicited.
