Friday, August 1, 2014

Vijay Mallya appears in special court, gets bail

UB group chairman Vijay Mallya leaving magistrate court after appearing for a case in Bangalore on Thursday. Photo: KPN

FP 31 July 14
Vijay Mallya, chairman of Kingfisher Airlines, on Thursday got a bail on a surety of Rs 3 lakh and a guarantor from the Special Economic Offences Court in Bangalore in three  income tax cases against the grounded airline for not having remitted tax deducted at source (TDS)  worth around Rs 260 crore with the authorities for financial years 2009-10, 2010-11 and 2011-12.

The special Judge granted Mallya bail  in all three cases  but asked him to furnish  Rs 1-lakh cash and solvent surety each in all cases.
“Mallya is not likely to co-operate … He is a non-resident Indian, frequently travelling abroad … (he is) likely to sabotage the trial as he is an influential businessman …,” the I-T Department counsel was quoted as saying inThe Hindu BusinessLine.
He also expressed apprehensions that Mallya was likely to sabotage the trial as he is an "influential businessman with enormous clout."
Mallya had sought exemption from personal appearance before the court after he was served summons in cases filed by the IT department which pertains to the airline's failure to remit TDS for three consecutive financial years beginning 2009-10.
The department had claimed a TDS (tax deducted at source) due of around Rs 400 crore from the airline, which is disputing the quantum of the tax demand. The cases were filed against the airline and Mallya for not remitting TDS.
The Bangalore police had served summons to the airline and Mallya on April 1, more than a year after the IT department filed the cases before the special court. In March this year, the court had ordered a show cause notice to the city police for their repeated failure to serve the summons.
Meanwhile, The Hindu BusinessLine photographer, GRN Somashekhar,  who was covering  Mallya’s appearance in a Bangalore court, was assaulted with a helmet by a few unidentified persons.
According to a Times of India report, "a man dressed in a black coat and another unknown person approached five photographers and one TV channel woman reporter, asking them to leave the court premises. When Mallya came out of the court building, the miscreants hurled abuses at the woman reporter and hit a photographer of a business daily on the head with a helmet."

The Hindu 1 Aug 14

Kingfisher Airlines head Vijay Mallya on Thursday personally appeared before the Special Court for Economic Offences in Bangalore, in connection with three criminal cases booked against him by the Income Tax Department for not remitting around Rs. 400 crore tax deducted at source (TDS) to the government.
The court granted him bail while directing him to deposit Rs. 1 lakh as cash surety in each case, bail bonds and solvent surety for the same sum. He was also directed to cooperate in the trial.
Mr. Mallya appeared before the court at 11 a.m. and the judge of the Special Court adjourned hearing of his bail plea to 3 p.m. and asked the counsel for the I-T Department to file objections. “Mr. Mallya is not likely to cooperate with proceedings… He is a non-resident Indian, frequently travelling abroad, and therefore there is a likelihood of him not cooperating with the trial and likely to sabotage the trial as he is an influential businessman having enormous clout…,” the I-T Department said in its objection filed through his counsel Jeevan J. Neeralgi.Mr. Mallya, who came back to the court around 3 p.m., left at around 6 p.m. after signing the bail papers.
The summons was first issued to him in February 2013 after the I-T Department lodged the first of its three complaints.
However, the Bangalore City Police failed to serve summons citing one or the other reason on several occasions, despite issuance of repeated summons.
Finally, lawyers representing him appeared before the Special Court in April 2014 after the Karnataka High Court, in January 2014, refused to interfere with the criminal cases. The proceedings before the Special Court were stayed from August 2013 to January 2014 in view of the interim order passed by the High Court earlier.
The I-T Department had filed three cases during February-March 2013 after the company failed to remit TDS amount for the financial years 2009-10, 2010-11 and 2011-12.

No comments:

Post a Comment