A bizarre tax case has emerged from Ajmer, Rajasthan, where a 62-year-old tailor earning around ₹15,000 a month has reportedly received an Income Tax Department demand of nearly ₹975 crore. The man, identified as Rekhraj Thada, says he has never run a diamond business and has never even visited Gujarat, yet official records allegedly show him as a director of two Surat-based diamond companies.
The astonishing notice reportedly reached Thada's home on August 13, 2026. According to reports, the document mentioned a tax recovery of approximately ₹974.97 crore. The huge amount left Thada and his family shocked because his regular livelihood comes from tailoring at a small rented shop in Govindgarh, along with work as an insurance agent.
How Did His Name Become Linked to Diamond Companies?
According to Thada's family, an investigation conducted with the help of a chartered accountant revealed that his name appeared as a director in Roop Rajat Diamond Private Limited and another Surat-based company, Jai Baberi Diamond Private Limited.
Thada has reportedly denied having any connection with either company. He claims that he has never operated a diamond business and has never travelled to Gujarat. His family suspects that his PAN and other identity documents may have been misused to establish companies or conduct financial transactions without his knowledge.
The discovery has raised several questions: Who used Thada's identity? How were the companies registered? Who controlled their bank accounts and transactions? And who ultimately benefited from the businesses associated with his name?
Registered Address Raises More Questions
The case became even more unusual when the reported registered address of the companies was examined. According to the report, investigators found a mechanical workshop operating at the location rather than a diamond business.
The discovery could become significant as authorities investigate whether the corporate addresses and other documentation were allegedly used as part of an identity or financial fraud scheme. However, the precise circumstances remain subject to investigation.
Tailor Says His Financial Records Are Modest
Thada reportedly told authorities that he has been working as an LIC agent since 2009 and maintains his income-tax records. He claims that his normal financial history is entirely inconsistent with the enormous tax demand.
Following receipt of the notice, Thada reportedly sent his response to the Income Tax Department by email. His family has also approached the police and the Ajmer SP office, seeking an investigation into the alleged misuse of his identity documents.
Police Investigating Alleged Identity Misuse
The police investigation is expected to examine the company-registration documents, director records, KYC information, bank accounts, tax filings and financial transactions connected to the two companies.
Authorities will also have to determine whether Thada's identity documents were genuinely used without his knowledge and, if so, who was actually operating the companies.
Cybercrime experts have repeatedly warned that stolen or misused identity documents can be exploited for opening accounts, registering companies and conducting financial transactions. This case once again highlights the importance of protecting PAN, Aadhaar and other KYC documents.
For now, the ₹975-crore demand remains at the centre of an alleged identity-fraud investigation, and the final responsibility for the tax liability will depend on what investigators establish. Thada maintains that he neither owns nor operated the companies and that his identity was allegedly misused.
