(a) whether the Central Vigilance Agency has unearthed a big
scam involving cheating of crores of rupees in the name of
bogus tax deduction at source in the Income Tax Department
during second week of April, 2003;
(b) if so, the details thereof; and
(c) the corrective steps taken in this regard ?
MINISTER OF STATE IN THE MINISTRY OF FINANCE(Sh. GINGEE N. RAMACHANDRAN)
(a) Yes, Sir. The CBI has registered three cases i.e.
RCs.1(A)/2003, 2(A)/2003 and 6(A)/2003 in ACB, Chandigarh
branch relating to bogus refunds claimed on the basis of
the forged Tax Deducted at Source certificates.
(b) As per Annexure.
(c) To counter any malpractices relating to refund claims,
the Central Board of Direct Taxes has issued instructions
from time to time, for streamlining the procedure. Some such
measures include issue of refunds by Registered Post,
chronological processing of refund claims etc. Further, the
computerisation of Income Tax Department, which is at an
advanced stage, will gradually eliminate human intervention.
Annexure
DETAILS OF BOGUS REFUNDS CLAIMED ON THE BASIS OF FORGED
T.D.S. CERTIFICATES AT ROHTAK, BHIWANI AND JAGRAON (PUNJAB).
Case RC.1(A)/03 has been registered on 27.01.2003 against
Shri M.C. Sharma the then ITO Rohtak, Shri A.K. Mehta the
then ITO Rohtak and Shri D.S. Narwal U.D.C., Shri V.K.
Gupta, U.D.C. who entered into criminal conspiracy with
each other and with Shri S.K. Bansal, Chartered Accountant
r/o 1061/23 D.L.F. Colony Rohtak and Sh. Naresh Gupta
r/o 81, Adarash Nagar, Bhiwani who after floating
fictitious companies filed income tax returns in the
name of said companies claiming TDS refunds on the basis
of forged and fictitious TDS certificates reportedly to
have been issued by existent and non-existent companies
based at Surat, Mumbai, Thane, New Delhi etc. and
defrauded the Income Tax Department to the tune of
Rs.11,17,566/- during the year 1996-2000.
Case RC.2(A)/03 has been registered on 27.01.2003 against
Shri R.S. Ranga the then ITO Bhiwani, Sh. V.K. Jain, TA,
Sh. Ashok K., U.D.C., Shri Anil Singla, U.D.C., Sh. Pawan
Sharma, U.D.C., who entered into a criminal conspiracy
with each other and Sh. S.K. Bansal Chartered Accountant
r/o 1061/23 D.L.F. Colony Rohtak and Sh. Naresh Gupta
r/o 81, Adarash Nagar, Bhiwani who after floating
fictitious companies filed income tax returns in the name
of said companies claiming TDS refunds on the basis of
forged and fictitious TDS certificates reportedly to
have been issued by existent and non-existent companies
based at Dispur (Assam), Guwahati, Kohipurati, Surat,
Delhi, Mumbai, Calcutta, Meerut etc. and defrauded the
Income Tax Department to the tune of Rs.43,38,424/-
during the year 1994-1999.
Case RC.6(A)/03 has been registered on 10.03.2003 against
Sh. R.S. Ranga, the then ITO Jagraon, Sh. Paramjit Singh,
the then ITO Jagraon, Sh. Hari Chand, the then Sr. T.A.,
Sh. Sadhu Singh, the then T.A., Sh. Ram Lubhaya, the then
T.A. who entered into a criminal conspiracy with each
other and Sh. Amarjit Singh Taneja, Advocate, Jagraon,
Sh. Hukum Chand Gupta, Advocate, Faridkot, and
Sh. Naresh Gupta r/o 81, Adarsh Nagar, Bhiwani who
filed Income Tax returns in the names of individuals
claiming T.D.S. refunds on the basis of forged and
fictitious T.D.S. certificates purportedly to have been
issued by existent and non existent companies/firms based
at Mumbai, Kolkata, New Delhi, Lucknow etc. and defrauded
the Income Tax Department to the tune of Rs.22,37,266/-.
In this case an attempt was also made by the above
named accused persons to claim TDS refunds in the
similar fashion, but the same was foiled as refund
advices were withheld and the accused persons could
not succeed in getting refund that is to the tune of
Rs.13,46,390/-.
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