I-T issues notice to EPS & OPS is Sekar Reddy issue

The Income Tax department has issued notices to the former Tamil Nadu ministers, including former chief minister Edappadi K Palaniswami and ex-deputy chief minister O Panneerselvam, and MLAs based on findings about kickbacks in infamous Sekar Reddy diary.

Businessman Sekar Reddy was the partner of the SRS Mining company, where the I-T department carried out surprise check immediately after demonetisation of Rs 500 and Rs1 ,000 in the year 2016.

During the searches, the I-T officials had seized huge quantity of gold, large amount of demonetised currency as well as fresh notes of Rs 2,000 from various premises linked to him.

An I-T official clarified that it was a part of the routine procedure. “The investigation unit has completed a detailed investigation and the files were sent to the central range office,” he said.

The notice has been issued to respond within 10 days of time to clarify if they admit to having received the money or not. An I-T official said, “If they accept, they would be treated as a benami and they would have to face a separate case under the the Benami’s Act. If they didn’t accept it, the officials would produce the proof of documents they had collected to corroborate it. Then it will be decided whether to prosecute them under Benami Act or Income Tax Act,” sources said.

The I-T officials would recommend further action based on the proofs they have collected against each and every person named in the case.

It may be noted that Sekar Reddy had claimed that he did not pay money to anyone as per the statements recorded by the Income Tax department.