Income Tax launches criminal prosecution against NDTV, Prannoy Roy & Radhika Roy. Punishment of up to 7 years in jail

Prannoy Roy and Radhika Roy are looking at long jail terms for tax evasion

Prannoy Roy and Radhika Roy are looking at long jail terms for tax evasion
Prannoy Roy and Radhika Roy are looking at long jail terms for tax evasion

The Income Tax Department (IT) has finally launched criminal prosecution proceedings against New Delhi Television (NDTV) and its promoters  Prannoy Roy and Radhika Roy for tax evasion. The show cause notice was served to the TV channel for tax evasion of around Rs.800 crores ($119 million) and evasion personally by Roy and his wife for Rs.30 crores ($4.5 million) each[1]. As per the Income Tax, criminal prosecution laws charges are involving an imprisonment of up to seven years.

The top officials in the Finance Ministry got an earful from the Prime Minister Narendra Modi and key officers handling NDTV’s tax evasion were restored to their old positions.

The 36-page show cause notice served to NDTV, Prannoy Roy and Radhika Roy says that they will face the violation of Income Tax Act provisions under Section 276C, 277, 278 and 278B. These stringent provisions for criminal prosecution are imposed on the tax evaders that could lead to rigorous imprisonment of up to seven years with fine. The charges are also for false statements, abetment of a false return, and suppression of taxable income.

Prannoy Roy was knocking on all doors of Lutyens Delhi to suppress the Income Tax’s criminal prosecution and managed to get his buddies in the Finance Ministry to transfer the senior Income Tax officers handling the NDTV’s files[2]. Even the Assessment Officer of NDTV cases was shifted by the crooked people in Finance Ministry[3].

BJP leader Subramanian Swamy complained to Prime Minister about these transfers. The top officials in the Finance Ministry got an earful from the Prime Minister Narendra Modi and key officers handling NDTV’s tax evasion were restored to their old positions. All these officers were victimized by Finance Ministry’s top Babus for suggesting criminal prosecution.

The clock has started ticking for Prannoy Roy. He has to face the criminal prosecution and has to take bail when a charge sheet is filed. Now apart from the liability of paying more than Rs.800 crores, he and his wife have to face criminal prosecution for tax evasion. The IT  department has already attached 30 percent of NDTV’s 30 shares, whose current value is below Rs.80 crores. These shares of NDTV were owned by the shell firm RRPR Holdings. RRPR means Radhika Roy Prannoy Roy – A classic fraud of floating a shell firm exposing the Indian corporate culture.

Recently NDTV sold some shares of one of its subsidiaries to the building owner due to non-payment of rent of its headquarters[4]. With the latest action of launching criminal prosecution by Income Tax against the company and owners Prannoy Roy and wife, more troubles are on the anvil for the corrupt TV channel and its money laundering tax evading owners[5].

Note:
1. The conversion rate used in this article is 1 USD = 67.32 Rupees.

References:

[1] Income Tax fines Prannoy Roy and wife Rs.30 crores each for hushing up income in 2010-11Nov 20, 2017, PGurus.com

[2] Arun Jaitley’s Finance Ministry transfers top Income Tax Officers probing NDTV fraudsJan 8, 2018, PGurus.com

[3] Shocker! The IT Officer who exposed NDTV Tax frauds transferredMar 13, 2018, PGurus.com

[4] Is NDTV in contempt of Court? May 2, 2018, PGurus.com

[5] NDTV Frauds: A classic example of breaking of Law by India Media HousesAmazon

Team PGurus

We are a team of focused individuals with expertise in at least one of the following fields viz. Journalism, Technology, Economics, Politics, Sports & Business. We are factual, accurate and unbiased.

22 COMMENTS

  1. There should be reports in media how much the corrupt journalist got commission from the previous govt scams and how they post manipulated news in TV channels and news papers for the benefit of particular political parties and people’s from whom they receive loot commissions and favours thus misguide the whole nation and it’s people’s.

  2. It has taken four years and putting Jaitley out of the way in hospital to begin prosecutions! But why just businessmen? Why are Neta-Babus immune? Partners in crime?

  3. Modi boasts of fighting corruption but going by ground reality, it stops only with the rhetoric. This is nothing ut fooling the people. The pace of action on corruption related cases is very slow and at this rate, people will equally lose faith in Modi and his party. Modi should wake up to this widespread perception among the people and speed up action. People do not want him to continue his foreign jaunts whatever the purpose and would expect him to concentrate on more pressing issues at home. Press overseas does not cover his visits and meetings with world leaders with any importance compared to Western Leaders or the Chinese President and there is no clear material put out by the govt. as to how much such visits have helped us in real terms. As for NDTV case, it is very likely that the culprits will be let off unpunished, if present pace of action is any guide.

  4. If the media people are corrupt, it affects the nation adversely in many ways in most unpredictable manner. People want justice. Justice delayed is justice denied. Let us hope that there will be sincere effort from all responsible quarters to effect speedy actions.

  5. But the channel itself seems to be unrepentant & continues it journey with biased & fake news. The pace at which the proceedings take place, it may be a decade when we get the first verdict & then the appeals. So we can rest assured that the concerned individual will remain accused for well over 20 years with a huge uncertainty if they will ever be convicted. Political flux throwing all possibilities, proceedings may even take longer if not dropped before that. Where is the solution to all these? In a democratic country like the US, they are able to reach finality in cases fairly quickly & give convictions in less than a year. Is it because of availability of plenty of judges relative to the crimes? If this is a serious factor affecting timely delivery of justice, should we not prioritize attention on how to bring in more judges & courts into play? Basically, it was a wrong idea to promote lawyers as judges. Many of them may not be qualified mentally to be judicial having practiced selective laws & helping clients with crooked ways. Even there, successful ones wont like to leave their careers & opt to become judges unless they see a ‘compensating’ future there. This being the scenario, why are we bent on creating an incompetent bunch of people to preside over us & sit beyond questioning? On the contrary, if we establish schools / training centers for judges exclusively & carefully graduate them after they acquire the necessary skills, would we not have a better qualified set of people who know their job well. A person who knows his job well can work twice as fast if not more than the inefficient one that is trying to grapple with it. As we know many of the current day judges rely on some of the eminent lawyer for guidance to take a call on cases before them. That explains why lawyers enjoy such a clout before the judges(admitting there could be other reasons as well). Lawyers with sufficient experience & with an inclination to pursue the judicial profession, should be asked to get certified from the designated schools before being appointed. More importantly, the courts should function like hospitals – 24 X7. We must cut all those colonial style long weekends & summer holidays. Courts should start functioning like private companies from 8AM until 6PM. Lawyers should be advised not to waste time addressing judges as “MyLord”! We must cut all colonial crap. Adjournments should be given rarely & selectively with assurance to speed up trial by other means. Unless the Govt views this as a priority restructuring of judiciary, we are destined to perpetuate the old rotten system where most of the decisions would come after the criminals have enjoyed most of their lives & much after innocent under trials in jail perished without legal aid.

    • And some incentives of sort offered on grounds of cases completed within a stipulated time frame and judgements written quickly. A new law school established along the lines of IIT’s for legal studies and jurisprudence having access to legal brains from leading academic luminaries from around the globe.

  6. Hats off to D. Subrmaniam Swamy the lone crusader against the the Lutyen’s corrupt wh is who. It is mind boggling to see Lutyen’s white collar criminals (who support Congress) manipulating the system to punish even the bureaucrats who want to do honest job even when Congress is out of power. Imagine in power what all the things these guys are capable of. o wonder they looted the country with impunity for 10 years from 2004n to 2014. it is high time that PM identifies such top Babus who have allegiance to such corrupt elements and throw them out unceremoniously

  7. For once in a long long time these entitled elites are getting the long arms of law catch up with them, great job by Dr.Subramanian Swami, he is the lone crusader in a eternal battle against corruption, very well done sir.

  8. This is the start of these Presstitutes getting fixed. I hope the action happens soon. Else they get dragged for a long time. Again thanks to Swamy for his diligent work.
    PGURUS thanks for reporting these.

  9. I congratulate P gurus & Shree Iyer for persistent , patient & professional reporting.Of course Dr Swamy ,no body can raise their little finger such upright & honest mass leader & Mahaperiava devotee. Hats off to your combination.
    I want that Crook Chidu to be booked for destroying our Economy.The 10 years of UPA misdeeds is the darkest period in our post independence era.
    I also wish that our PM punishes the highly malleable Babus who were in collusion with the corrupt Netas.

  10. Perhaps they never, even in their dreams, thought the power at the centre will not be without corrupt congress . This is anti national channel which openly supports terrorists ,antinationals and traitors. They should be given possible highest punishment so that no media will take such antinationals stand and loot the country with the patronage of corrupt party known as congress headed by rahul ,the man ,who is roaming on bail in national heraldcase.

  11. is it only jail upto 7 yrs? Time that these laws are made stricter so that these crooks get atleast 20 years to rot in jail. Where is Jaitley now, who keeps speaking about individuals should be committed to tax payment and all lectures?

  12. The Prime Minister should first terminate the services of :

    (1)the BUDDIES IN THE FINANCE MINISTRY WHO TRANSFERRED THE SENIOR INCOME TAX OFFICERS TO PLEASE THE RRPR DUO

    (2) and the CROOKED PEOPLE IN THE MINISTRY WHO FACILITATED SHIFING THE ASSESSMENT OFFICER OF THE NDTV CASES

    Punishing the CRIMINALS in the MINISTRY is more essential and imperative than OUTSIDER CROOKS

    Swamiji should pursue this matter too using his proximity and clout with the PM and throw those rascals out

    Anyway kudos to the sustained efforts of Swamiji

    • To sum up kick out Shakuni Mama from Finance Ministry.Hope Mr Modi realises what harm has been done to the image of Himself and NDA by present FM and HM.

  13. Although Dr.Swamy is not FM he is doing his job and following all steps of criminals and their supporters in the finance Ministry.Congratulations and hope the next on.the agenda is EX FM.

  14. This is good action from Income Tax. When is CBI, ED and SEBI acting against this soft speaking crook Prannoy Roy. This fraudster has spoiled the life of 1000s of staffers in NDTV. This crook should rot in jail and his passport should be impounded and his home in Soth Africa should be sold and money should be credited to Treasury

  15. Super news. May both PR and RR be put behind the bars including all other stake holders like Vikram Chandra who informed CBI that they sold DREAMS, for the crimes committed. Hopefully, the most anti-national reporter BURKHA Catholic Dutt will face music as well.

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