Says Income Tax Department

Kochi: The Income Tax Department on Tuesday informed the Kerala High Court that the allegations that Finance Minister T.M. Thomas Isaac and Education Minister M.A. Baby had evaded income tax were general in nature and could not be inquired into.

In a statement filed in response to a writ petition filed by T.P. Nandakumar, Editor, Crime, the Additional Director of Income Tax (Investigation) said that unless specific details about the wealth and tax evasion were provided, the allegation could not be inquired into. The statement said that it was ascertained that Dr. Thomas Isaac was assessed to tax. The assessment particulars of Mr. M.A. Baby could not be located from the income tax records so far. The matter was being examined further, the statement added.

As regards the allegation that a sum of Rs.27,98,882 was deposited in the South Indian Bank, New Delhi branch, in the name of Swaralaya of which Mr. Baby was the vice-president by Lufthansa Air company during the financial year 1997-98, the statement said this was beyond the period of six year which was the maximum time period for which an income tax assessment could be reopened.

Replying to yet another allegation levelled against CPI(M) State secretary Pinarayi Vijayan, the statement said that the petitioner had not given any particulars regarding the education of Mr. Vijayan’s son except that he was studying in Birmingham University. It was not possible to conduct an investigation or inquiry with a foreign university regarding the expenses of a student without the details. The allegations that Mr. Vijayan was running a business establishment in the name of Kamala International Exports in Singapore and that crores of rupees had been invested in it were vague. However, the matter had been brought to the notice of the Foreign Taxes Division, Central Board of Direct Taxes with a request to collect the relevant details.

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