Congress claims IT department 'undemocratically' withdrew Rs 65 Cr from party's bank accounts
Ajay Maken, who had earlier addressed a press conference to announce that tax authorities had frozen Congress's accounts, said the tribunal has placed a lien of Rs 115 crore on his accounts and the party will be allowed to spend on top of that.
The Congress has alleged that the Income Tax department “undemocratically” withdrew Rs 65 crore from the party's accounts in various banks despite the matter being heard by the agency's appellate authorities.
“The Income Tax department had written to various banks to withdraw an amount of Rs 65 crore from various bank accounts of Congress and Indian Youth Congress, in view of the demand made earlier by the income tax authorities, despite the appellate authorities had handled the case. Congress leader Ajay Maken, who is also the treasurer of the party, told news agency PTI.
'Undemocratic action'
Maken said that even as the Income Tax Appellate Tribunal, which had brought Congress against the Income Tax Department's claim in previous tax returns, was stayed and a lien was flagged, tax authorities resorted to “undemocratic action” by disabling of the amount of their accounts.
“Democracy will be over if the action of investigative agencies remains unchecked,” Maken said, adding that Congress has full confidence in the judiciary.
“Alarming update: Concerns are emerging over the actions of central government agencies, which may threaten India's multi-party system. If nothing is done, democracy in India will be over. Without the intervention of the judiciary, our democratic principles will be at risk,” Maken said in a post on X.
In another post in Hindi, he said, “Since last night, Congress has become a victim of the anti-democratic attitude of the government machinery.
“We have full confidence in India's legal system,” he said, adding that he would share more information on the matter soon.
The Congress leader said the party had written to its bankers not to withdraw any amount as the matter was sub-judice and hearing of the case before the IT tribunal was still ongoing.
The tax authorities will hear the case on Wednesday.
On Friday, Congress's key bank accounts were frozen after the Income Tax Department filed an income tax demand of Rs 210 crore. But an IT appeals tribunal later allowed Congress to exploit them pending another hearing next week, a huge relief for the party which said the move had affected all political activity.
Maken, who had earlier addressed a press conference to announce that income tax authorities had frozen his accounts, said the tribunal has placed a lien of Rs 115 crore on his accounts and the party will be allowed to spend on top of that.
Party leader Vivek Tankha, who appeared before the tribunal against the order, said he told the tribunal that Congress would not be able to participate in the 'election party' if the accounts remain frozen.
Several party leaders, including party president Mallikarjun Kharge and former party chief Rahul Gandhi, expressed outrage and alleged that the government's move was an attack on democracy.