Congress chief Mallikarjun Kharge had expressed apprehension over the department's actions, labeling it as a severe blow to democracy.
In a significant setback for the Congress party, weeks before the Lok Sabha elections, the Income Tax Appellate Tribunal has rejected the party”s plea to out on hold the department”s actions against its bank accounts.
Following the dismissal of the petition against the Income Tax department’s action on Friday, Vivek Tankha, the Congress” legal lead, urged for a 10-day stay on the order. Tankha criticised the tribunal for not adhering to its own precedents and announced the party”s intention to approach the Delhi High Court.
“We are disappointed with the Income Tax Appellate Tribunal order. We will be moving the High Court very soon. They have not followed their own past precedents in granting relief on payment of 20 per cent penalty and that too to a national party which is now on the verge of contesting national elections, which are going to be notified soon,” he told reporters.
On February 16, the Congress revealed that the tax department had frozen Rs 115 crore in its bank accounts over a tax demand of Rs 210 crore for the financial year 2018-19. Subsequently, Congress leader Ajay Maken disclosed that the department had withdrawn ₹ 65 crore from three of the party”s accounts despite an ongoing petition before the Income Tax Appellate Tribunal challenging the claim.
Reiterating its allegation of BJP”s misuse of central agencies, the Congress condemned the tax demand as “politically motivated” aimed at disrupting its election preparations. The Congress accused the BJP government of resorting to “financial terrorism” to “cripple” the primary Opposition party of India before general elections using the Income Tax department.
Congress chief Mallikarjun Kharge had expressed apprehension over the department”s actions, labeling it as a severe blow to democracy.
“The unconstitutional money that BJP has collected will be used in the elections, but the money we have collected through crowdfunding will be sealed. That is why we have said that there will be no elections in the future! We appeal to the judiciary to save the multi-party system in this country and secure India”s democracy. We will take to the streets and fight strongly against this injustice and dictatorship,” he had said.
