2G scam: Balwa repaid through bogus firms by Kalaignar, say Tax officials
19 Jul 2012
A amount of Rs52 crore from the Rs230 crore that the DMK-controlled Kalaignar TV repaid to 2G accused Shahid Balwa came from 19 Kolkata-based firms with fictitious addresses that were not traceable, the Joint Parliamentary Committee was told by senior tax officials yesterday.
The payment forms part of the Rs200 crore suspected kickbacks for 2G licences, but Kalaignar TV claims it was a loan received from DB Realty through two other firms -- Cineyug and Kusegaon Fruits and Vegetables. The amount was returned with an interest of Rs30 crore only after the registration of a case by the Central Bureau of Investigation.
According to JPC chairperson, P C Chacko, the CBDT had said Rs52 crore was being investigated as regards its source, as the offices of the alleged firms were not traceable.
The repayment, however, seems to have been done hastily after making arrangements for the money from multiple sources.
Responding to a Congress MP's query as to when penal provisions could be invoked, the tax officials said this would be done after all stages of assessment had been completed adding further, the CBDT was concerned with assessing tax evasion and liability while criminal prosecution was the remit of other agencies.
Contesting the CBDT's stance that it would limit itself to tax liability issues, BJP leader Yashwant Sinha questioned why violation of the Income Tax Act was not being viewed as a criminal offence. He went on to question CBDT's finding that Rs200 crore received from DB Realty by Kalaignar TV was an inter-corporate deposit as claimed. He called on the CBDT to do a more thorough job of probing the funding of 2G firms.
