Hyderabad, Aug. 22 -- The Hyderabad Central Goods and Services Tax (CGST) zone has busted pan masala manufacturing units in Medchal-Malkajgiri district for evading taxes worth Rs 160 crore.

Based on intelligence inputs, the CGST raided the units on August 20 and found 40 undeclared FFS (Form-Fill-Seal) pouch-packing machines used to manufacture and pack pan masala and tobacco products, including scented 'zarda'.

At least 56 workers were found engaged in manufacturing and packing activities during the raid. Following the raid, 5,500 kg of finished pan masala and tobacco pouches, along with ready-to-dispatch consignments valued at Rs 76 lakh, were seized.

The seized material also included about 2,015 kg of pan masala mixture and 810 kg o...