Big setback for Congress: Income Tax Tribunal junks Congress, plea seeking stay on freezing accounts; party says will move HC
In a major setback to the Congress ahead of the 2024 Lok Sabha election, The Income Tax Appellate Tribunal (ITAT) on Friday dismissed the plea moved by the Congress, which sought a stay against Income Tax Department proceedings of recovery and freezing of their bank accounts. Following the decision, the grand old party said that it would move the high court against it soon.
Advocate Vivek Tankha appeared for the Congress and requested the tribunal to defer the order for 10 days so that the party can approach the high court but the tribunal bench declined it and said there was no such provision.
On February 16, the Congress had announced that its bank accounts had been frozen by the I-T department.
Days later, Congress leader Ajay Maken alleged that the department withdrew Rs.65 crore from three of the party’s accounts even though a petition against the claim was being heard by the Income Tax Appellate Tribunal.
He said that the funds were raised through grassroots efforts, including crowdfunding and membership drives by the Indian Youth Congress (IYC) and the National Students’ Union of India (NSUI).
“This situation raises a crucial question about the state of democracy. Is it under threat?” Maken said, adding, “Our hope now lies with the judiciary.”
“The I-T department had written to various banks to withdraw a sum of Rs.65 crore from different bank accounts of the Congress and IYC in view of the demand raised by the I-T authorities earlier, despite the appellate authorities hearing the case,” Maken said.
Earlier, Maken in a post on X said that concerns had risen over the actions of Central government agencies, potentially threatening the multi-party system in India. “If unchecked, democracy in India will be over.”
Congress treasurer Ajay Maken further said, “Exploring legal options on I-T Appellate Tribunal order, will move high court against it soon.”
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Supreme Court CJI will bail out Khangress & people of India are very confident of that.