Redtape , a prominent footwear and accessories brand, finds itself at the center of attention as an extensive Income Tax Department investigation enters its third day. The probe, which began on Thursday, has targeted six locations across Noida and Greater Noida, including the company's head office and the corporate office of Mirza International.

Investigation Details

The investigation, spearheaded by the Kanpur Income Tax Department, involves teams from various parts of the country conducting simultaneous raids. Officials have seized a substantial amount of evidence, including:

• Documents
• Digital data from computers and laptops
• Footage from CCTV cameras
• Data from pen drives and mobile phones

Specialized teams comprising chartered accountants, technical experts, and data analysts are now engaged in a thorough forensic audit of the collected materials.

Preliminary Findings

According to reports, the ongoing investigation has already uncovered evidence of undisclosed income amounting to several crores of rupees. The scrutiny extends to:

• WhatsApp chats
• Messages
• Transaction details
• Previously deleted data recovered through digital forensic procedures

Market Impact

The news of the investigation has put Redtape shares under the spotlight. On Friday, Redtape shares closed flat at Rs 138.40 on the Bombay Stock Exchange (BSE), indicating that investors are closely watching the developments.

Looking Ahead

As the investigation continues, it remains to be seen how these developments will impact Redtape's operations and market position. Stakeholders and investors will likely be monitoring the situation closely for any further updates or official statements from the company or regulatory authorities.

The ongoing probe serves as a reminder of the increasing scrutiny on corporate financial practices and the potential market implications of such investigations.

Redtape Limited , a prominent player in the Indian market, has announced significant changes to its business strategy and management structure. The company's Board of Directors has approved alterations to its Memorandum of Association, paving the way for a substantial expansion of its business activities.

Business Expansion

The Board meeting, held on August 28, resulted in the approval of an amendment to the company's Memorandum of Association. This change involves the addition of Sub-clause 5 to the main Object Clause, significantly broadening Redtape's potential business operations.

The new sub-clause empowers Redtape to engage in a diverse range of business activities, including:

• E-commerce operations
• Manufacturing
• Trading and distribution
• Franchising and collaboration
• Import and export

These activities will cover a wide spectrum of products, including but not limited to:

• Electronics and accessories
• Beauty and personal care products
• Fitness equipment
• Wellness products
• Alternative medicine and therapeutic treatments

Redtape plans to leverage various channels for these new ventures, including online portals, franchises, and physical stores across India and potentially abroad.

Management Updates

In conjunction with the business expansion, Redtape has also updated its list of Key Managerial Personnel (KMPs) authorized to determine the materiality of events for stock exchange disclosures. This update follows the redesignation of Mr. Abhinav Jain, the former Chief Financial Officer.

The current KMPs authorized for this purpose are:

Mr. Akhilendra Bahadur Singh will serve as the single point of contact for matters related to the determination of materiality of events and information disclosure to stock exchanges.

Shareholder Approval and Next Steps

The proposed changes to the Memorandum of Association are subject to shareholder approval at the upcoming Annual General Meeting. If approved, these amendments will allow Redtape to significantly diversify its business operations and potentially open up new revenue streams.

The company's move to expand its business scope reflects its ambition to adapt to changing market dynamics and capitalize on emerging opportunities in the e-commerce and wellness sectors.