Thiruvananthapuram, Sept. 28 -- In a sweeping crackdown on liquor trade malpractices, the Kerala State GST Department has unearthed large-scale tax evasion during statewide raids on bar hotels.

The surprise operation, code-named "Prancing Pony", exposed suppressed liquor sales worth Rs 127.46 crore and tax evasion to the tune of Rs 12 crore.

The coordinated drive, jointly executed by the Intelligence and Enforcement Wing, began at 4.30 pm on September 25 and continued till the early hours of September 26.

Teams swooped down on 45 bar hotels across the state, uncovering systematic manipulation of sales records and deliberate delays in filing mandatory returns.

Preliminary findings revealed that several establishments routinely under-repo...