In a huge relief to Reliance Group chairman Anil Ambani, the Bombay High Court on Monday directed the Income Tax department to not take coercive action against him in a case under the Black Money Act.
A Division Bench of Justices S.V. Gangapurwala and R.N. Laddha granted protection to Mr. Ambani till November 17 in an alleged tax evasion of ₹420 crore.
The Bench also stayed a prosecution notice issued by the Department to Mr. Ambani in August for wilful evasion and intentionally not disclosing the amounts in his two Swiss bank accounts.
Senior advocate Rafique Dada appearing for Mr. Ambani pointed out that his client cannot be booked under the Black Money Act as it was enforced in the year 2015 and the transactions mentioned by IT department are from the years 2006 and 2012. Therefore no retrospective prosecution can take place in this case.
The court however refrained from commenting on the retrospective aspect and said that issue was pending before various High Courts, including the Bombay High Court.
