Income Tax fixes Sonia-Rahul firm Young Indian for Rs.414 crore gains from National Herald frauds. Calls Congress Rs.90 crores loan claim “bogus”

ITD determines that Young Indian has evaded taxes by concealing income from rent derived from National Herald properties

ITD determines that Young Indian has evaded taxes by concealing income from rent derived from National Herald properties
ITD determines that Young Indian has evaded taxes by concealing income from rent derived from National Herald properties

The Income Tax Department (ITD) exposes the blatant lies, frauds including hawala operations and land grabbing committed by Congress leaders Sonia and Rahul Gandhi controlled firm Young Indian in the National Herald case.

Income Tax in its detailed Assessment Order described the takeover of erstwhile National Herald newspaper publishing company AJL by Young Indian as a premeditated scheme of tax evasion, adventure, fraudulent, involved in hawala nature activities etc.

The ITD declared that the Congress’ claim of giving Rs.90-crores ($14 million) loan to the National Herald newspaper publishing company Associated Journal Limited (AJL) was a “totally bogus” claim to facilitate Gandhi family-controlled company Young Indian to dubiously take over the ownership of the lands and buildings across India. The 105-page Income Tax Assessment Order has declared that Sonia and Rahul Gandhi controlled Young Indian’s actual taxable income is more than Rs.414 crores ($65 million) and cancelled the firm’s tax exemption certificate. As per this Assessment Order dated December 27, 2017, served to Young Indian the previous week, the company is liable for tax evasion for the concealment of income of more than Rs.414 crores. According to tax experts, the concealment of income attracts fine in the range of 100% to 300% and prosecution for concealing the income.

The Assessment Order dated December 27 served to the Young Indian was produced by main petitioner and BJP leader Subramanian Swamy before the New Delhi Metropolitan Magistrate Ambika Singh on Saturday afternoon to prove that his complaints and findings against all the accused are totally ratified by the Income Tax department. After assessing the Fair Market Values of the properties of AJL in New Delhi, Mumbai’s Bandra region, Lucknow, Panchkula in Haryana and Patna, the Assessment Order says the Young Indian literally owns the land and building assets of more than Rs.2000 crores.

Income Tax in its detailed Assessment Order described the takeover of erstwhile National Herald newspaper publishing company AJL by Young Indian as a premeditated scheme of tax evasion, adventure, fraudulent, involved in hawala nature activities etc.

“However, during the course of assessment proceedings, many opportunities were allowed to the assessee (Young Indian) as well as the representatives of the AICC to prove the date and mode of transfer of loan amounting to Rs.90.21 crores to the AJL,” said Income Tax department, adding that Congress leaders including its Treasurer Motilal Vora did not cooperate and raised objections several times[1]. The IT Department also produced Vora’s letters accusing the Assessing Officer for political bias for seeking the details of the Rs.90 crore loan claim to National Herald. In some letters, Vora warns the Assessing Officer that he would face prosecution and has no power to look into these matters.

“In order to fulfil the objective of acquiring 100 percent shares of the AJL, one of the majority shareholder of the assessee (Young Indian), Rahul Gandhi along with sister Priyanka Gandhi Vadra had purchased an additional 47,513 and 2,62,411 shares through Rattan Deep Trust and Janhit Nidhi Trust respectively[2] without complying with the provisions of the Companies Act,” said Income Tax in detail saying that Congress claim of giving Rs.90 crore loan to AJL was wrong and this wrong claim was mooted to take over the land assets of AJL by floating a new company called Young Indian.

“As early as in the beginning of the year 2008 it was decided to close down the business of printing and publishing the newspaper by the AJL with the oblique purpose to make commercial use of the business assets of the AJL (commercial property located in posh areas of Delhi, Patna, Panchkula, Mumbai, Lucknow) acquired by it from the Central/ State Governments for publishing newspaper at ridiculously low prices…

“Important office bearers of the AICC namely Sonia Gandhi, Rahul Gandhi, Motilal Vora and Oscar Fernandes and AJL controlled by Motilal Vora and Oscar Fernandes have devised the scheme involving pre-ordinate artificial and fraudulent steps to take over AJL. The objective of the scheme was two-fold, one to obtain valuable benefits embodied in business assets of the AJL and two, to not pay any tax on business income of earning such benefit.

“The scheme has included a fraudulent transaction involving purchases of a non-existent loan of Rs.90.21 crores by AICC to AJL for a paltry sum of Rs. 50 lakhs ($78,000) by the assessee (Young Indian) company”.

The Income Tax Order also said that Young Indian receiving Rs. One crore ($156,000) from a Kolkata based company Doltex is nothing but a hawala transaction[3].

“The competent authority after making enquiry has held that the assessee company (Young Indian) had not carried out any activity in accordance with its charitable object and has cancelled the tax exemption enjoyed by the assessee company  by passing an order under section 12AA(3) of the Act on December 26, 2017. In view of the above, the business income of the Rs.413,40,55,980 earned by the assessee (Young Indian) during year under consideration was not subject to tax exemption”.

The Assessment Order said that 44 opportunities spanning 890 days were given to Congress leaders and Young Indian company to prove their claims. The Income Tax also re-produced Motilal Vora’s letter to the Assessing Officer, accusing him of political bias and wide range of allegations when documents were sought for the party’s claim of giving a Rs.90 crore loan.

National Herald publication was stopped in 2008 and the publishing company AJL was taken over by Young Indian in December 2010. Sonia Gandhi and Rahul have 38 percent shares each in the newly floated Young Indian. Gandhi family’s trusted Congress leaders Motilal Vora and Oscar Fernandes have 12 percent shares each. The family’s close aides Sam Pitroda and Suman Dubey are also the Directors and first promoters of the Young Indian. In the case filed by Subramanian Swamy, all these six persons and Young Indian are accused and currently out on bail from December 2015[4]. Swamy approached the Metropolitan Magistrate’s court in February 2013 and taking cognizance of the office, the Court had summoned the Congress leaders. Though the Congress leadership went to Delhi High Court and Supreme Court against the trial court’s summons, however, it did not get relief. The Courts pronounced that they must face trial. After the trial court’s summons in July 2014, the Income Tax had issued notice to Young Indian and Congress and AJL for the controversial Rs.90-crore loan.

The Magistrate directed to put the documents in a sealed cover. Swamy also produced the documents produced by Sonia Gandhi in the Supreme Court (SC) in a Special Leave Petition for National Herald. Swamy said these were the documents he wanted and said he wanted Sonia to testify these documents or face perjury if documents placed in the SC were wrong. Next hearing in this case is adjourned for March 17.

Note:
1. The conversion rate used in this article is 1 USD = 64.03 Rupees.

References:

[1] NHCase: Peon gets his 15-minutes of fameMar 22, 2016, PGurus.com

[2] Janhit Nidhi Limited – Site2Corp.com

[3] Sonia and Rahul object to summoning of documents in the National Herald caseSep 18, 2016, PGurus.com

[4] Sonia, Rahul hit out at Modi, get bailDec 19, 2015, The Hindu

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.

28 COMMENTS

  1. BJP should be ashamed of itself for all these exposures are due to single handed merit of Dr. Swamy & BJP should stop claiming any credit for the law catching up with fake & chinese gandhis

  2. I always think why the documents such as Income tax department convicting Gandhis or Black money horders abroad are kept secrte? someone should ask the judge what is the danger of knowing the thief a thief, sometimes court judges are equally cuplable

  3. It appears primaface the Smt Sonia& Co grabbed the NH properties by holding more than 50% share by all dubious means, In The then circumstances prevailed they thought it was a smooth affair, all Congress people like Cibal and gang, Chidambaram and gang, UPA scamsters gang never expected the events will take this way. The truth and law of the Country, silent peoples prayers will drive away this unscruplous acts to its logic conclusion. The day the Congress enacted the drama for obtaining bails for the perpetrators including Mother and Son quitely established they have done some thing wrong. Dr Swamy is right from the begining is clear and assertive with clarity. The article narrated the contents for clear understanding the readers. I am following it and having firm opinion that before end of the year all the economic dacoits will be behind bars.

  4. this govt. will do nothing………. this is just another sensational news for media TRP. Lalu is also enjoying his life out of prision.

    The mother/son duo will get out scot free…… and Dr.Swami will look like a fool wasting his time and energy and being used.

  5. CAN P.GURU POST A COPY OF ASSESSMENT ORDER OF IT. READERS CAN GO THROUGH AND UNDERSTAND FULLY HOW THE FAMILY LOOTED THE COUNTRY AND THEIR DESIGNS.

  6. अब आयकर विभाग ने नेशनल हेराल्ड मामले में ९० करोड़ रुपये के लोन को बोगस ठहराते हुए सोनिया गांधी- राहुल गांधी की फर्म यंग इण्डियन को ४१४ करोड़ रुपये की नोटिस सर्व की है |
    इस प्रकार डॉ. सुब्रह्मण्यम स्वामी ने नेशनल हेराल्ड मामले में सोनिया-राहुल को दोषी ठहराने कामयाबी हासिल करते हुए राष्ट्रद्रोही कांग्रेस के भ्रष्टाचार के मामलों के खुलने का दौर शुरु कर दिया है |

  7. अब आयकर विभाग के द्वारा सोनिया-राहुल की फर्म यंग इण्डियन को ४१४ करोड़ रुपये की नोटिस नेशनल हेराल्ड के लिए ९० करोड़ रुपये के लोन को बोगस ठहराते हुए दी गई है | डॉ.सुब्रह्मण्यम स्वामी ने इस तरह से नेशनल हेराल्ड मामले में माँ-पुत्र को दोषी ठहराने में कामयाब हो गये हैं और अब इस तरह राष्ट्रद्रोही कांग्रेस के भ्रष्टाचार के मामलों केे खुलने का दौर शुरु हो गया है |

  8. Very valid points raised by KS. Rs.2000 crs of real estate assets is chickenfeed for the Italian mafia. The sensation out of this IT order will last for a couple of days and thereafter die down. There is no way the culprits are going to go to jail or pay up the penalty. Meantime if the political climate changes the case will die a natural death. Swamy and co can score some brownie points meantime!!

  9. The entire NH episode would not have come to such a pass where chances of the culprits the mother son duo being convicted are high, but for the strenuous efforts of Dr Swamy and his team. Country needs many more such teams to weed out corruption particularly of the mighty. Govt. viz. IT Dept. should consider putting out on their website cases where the assessees have indulged in criminal activities such as money laundering, fraudulent money transactions to evade or take undue advantage of tax provisions so that the common man will be aware of it and avoid extending any support in any form to such unsocial criminal elements. One wonders how many such cases of concealed income particularly of people holding money and muscle power are there but kept under the carpet in the name of privacy.

  10. Perhaps no punishment on earth will suffice this corrupt family for the loot and for the damage done to Indian history and culture.

  11. Dr Swamy’s efforts (along with those of his companions) quite appreciated. He is a relentless fighter. All the best

  12. Merits of the case & culpability of the accused apart, one wonders if the fraud family would have stuck their neck out for these paltry sums of 2000 Crores!! It is possible they were wrongly advised or there must be a larger issue behind it that we don’t see yet. When they have millions coming from defense contracts and other Govt deals and through their investments back in India in real estate & stock market which are perfectly ‘safe’ and beyond the clutches of any investigating agency, would they do something exposing themselves to local IT officers & magistrates? It is already 8 years since the issue is raised and 5 years since the case is lodged. We have seen how it progressed. Both the mother & son are moving about vacationing & politicking without a tinge of the label ‘out on bail’, with a secured feeling that the case is totally watered down. For people who were & are on international stage engaging boldly in programs in war torn areas of Iraq such as ‘Food for Oil’ administered by the UN, they must be looking at indian law enforcers as flies and jokers. Incidentally, why no one wants to raise Congress’ & Sonia’s direct involvement in ‘Food For Oil’ program? No doubt Vajpayee was so compromising for reasons best known to him and he didn’t take it up during his time but why should this Govt or the right minded people shy away from reviving it? In terms of scale, NHL will be its baby!

  13. The chickens have started their homeward journey to the abodes of the mother son duo to roost. This explains the desparation of the party leaders to stress their janeu sporting hindu credentials to win elections and waylay the chickens and prevent their return home. Will the duo succeed? Or will swamy have the last laugh?

  14. Fake Gandhis are the kingpins of Left ecosystem in India. If they are sent behind bars the message will go loud and clear to the fraudsters from the leftists cabal

  15. The Gandhi family with its clout with Judiciary and the wealth in Congress funds controlled by Sonia ALONE, will never go behind bars. We can all dream in the hard work out in by Subramanya Swamy but we are all impotent to fight together against the Fraud Family.

  16. We will never see the Current Gandhi family to go behind bars, considering the clout they have on the Judiciary. Subramanya Swamy’s efforts are just going to remain just like dream. Indians are doomed from the time Gandhi & Nehru entered Indian Freedom struggle.

  17. Even if they are prosecuted punished in this case, common man knows that this will constitute only a minuscule fraction of the total fraud they have inflicted on the nation. And to prove it, the extent of work to be done by the Complainant and Prosecution are beyond imagination, whereas the accused can just relax and cock a snoop at the Complainant and Prosecution.

    This is the reason why judicial reforms, esp putting the burden of proof on the accused once prima facie case is established, is imperative. Please read my many recent articles on this subject in PGurus for details.

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