Sasikala case: HC Dismisses petitions filed by 14 persons
The chennai High court dismissed 14 firms and individuals' lawsuits against the Income Tax Department for allegedly utilising cash notes worth Rs 1,600 crore as proxies for VK Sasikala to purchase assets. The Income Tax Department raided VK Sasikala's home in 2017 following a currency devaluation operation in the country. Following this, the Income Tax Department raided VSJ Dinakaran's home and offices, seizing various critical documents.
In the raid, the ganga Foundation, VSJ Dinakaran, spectrum mall owners, Balaji, and Mark Square IT on Old Mamallapuram Road allegedly served as a proxy for Sasikala to purchase various assets totaling Rs 1,600 crore. Under the Benami Act, the Income Tax Department has frozen the assets of enterprises such as Park and pondicherry Ocean Spray. Cases have been filed on behalf of 14 individuals, including Dinakaran, Balaji, and the ganga Foundation. Judge Anita sumanth presided over the hearings.
The petitioners claimed that they could not be prosecuted under the Benami Act since they obtained cash in devalued currencies and sold the property. They were also told that because they had sold the space on the basis of the contract, they couldn't use the proxy law against them. The Income Tax Department responded by claiming that the owners had decided to sell the spectrum evening owing to the terrible financial crisis, for which they had approached Sasikala's lawyer through a real estate agency, and that the meeting had occurred prior to the currency devaluation. The judge who presided over the case accepted the IRS's explanation and dismissed all of the petitions.
In the raid, the ganga Foundation, VSJ Dinakaran, spectrum mall owners, Balaji, and Mark Square IT on Old Mamallapuram Road allegedly served as a proxy for Sasikala to purchase various assets totaling Rs 1,600 crore. Under the Benami Act, the Income Tax Department has frozen the assets of enterprises such as Park and pondicherry Ocean Spray. Cases have been filed on behalf of 14 individuals, including Dinakaran, Balaji, and the ganga Foundation. Judge Anita sumanth presided over the hearings.
The petitioners claimed that they could not be prosecuted under the Benami Act since they obtained cash in devalued currencies and sold the property. They were also told that because they had sold the space on the basis of the contract, they couldn't use the proxy law against them. The Income Tax Department responded by claiming that the owners had decided to sell the spectrum evening owing to the terrible financial crisis, for which they had approached Sasikala's lawyer through a real estate agency, and that the meeting had occurred prior to the currency devaluation. The judge who presided over the case accepted the IRS's explanation and dismissed all of the petitions.