Chennai, Apr 21:
The Income Tax Department has informed the Madras High Court that a ₹7.36 crore investment declared earlier by Udhayanidhi Stalin in Red Giant Movies is missing from his 2026 election affidavit, raising questions over asset disclosures.
According to a counter-affidavit filed before the court, the investment—declared in 2021—does not appear in the latest affidavit. Instead, the 2026 filing shows an investment of ₹2.63 crore in the same company under his spouse’s name, which was not disclosed previously. .
The Income Tax Department highlighted multiple inconsistencies between the 2021 and 2026 affidavits, including discrepancies in loan declarations. While the 2026 affidavit mentions loans of ₹10 crore, earlier filings showed ₹11.06 crore, and company records indicate borrowings of about ₹17.69 crore.
Officials told the court that it is currently difficult to arrive at definitive conclusions due to lack of complete financial records. They noted that returns were filed under ITR-2 format, which does not mandate a balance sheet, making independent verification of investments challenging. Missing audited financial statements and absence of tax filings by related parties have further complicated scrutiny.
The issue stems from a petition seeking a probe into alleged discrepancies in asset declarations between the 2021 and 2026 election affidavits. The court had earlier sought responses from authorities, and the case remains under consideration.
Udhayanidhi Stalin has declared total assets of around ₹20.6 crore in his latest affidavit, including both movable and immovable assets, with reported personal income of ₹10.4 lakh for 2024–25, while his spouse reported income exceeding ₹2.9 crore.