HC grants more time to Robert Vadra for reply to I-T notices under black money law

The high court said the I-T Department can continue with the assessment proceedings, but no final order shall be passed by it

The Delhi High Court Friday gave three more weeks to businessman Robert Vadra to respond to notices issued to him by the Income Tax (I-T) Department under the black money law.

The court allowed the I-T Department to continue with the assessment proceedings but restrained it from passing the final order.

A bench of Justices Rajiv Shakdher and Talwant Singh issued notice to the I-T Department and asked it to file within four weeks its response to Vadra's petition challenging notices issued to him on December 4, 2018 and December 18, 2019 under Section 10(1) of the Black Money Act, 2015.

The court listed the matter for further hearing on August 10.

Vadra, Congress chief Sonia Gandhi's son-in-law, sought to declare as illegal and unconstitutional the 2018 and 2019 notices as well as a show-cause notice issued to him on May 7 this year, along with May 17 and May 22 letters being violative of Article 14, 19 and 21 of the Constitution.

Vadra alleged that the conduct of the authorities in issuing five communications to him is reflective of their mala fide attempt to pursue a political vendetta against him, his wife Priyanka Gandhi Vadra who is the General Secretary of Indian National Congress and his in-laws.

The notice alleged that he acquired beneficial interest or ownership in 2010 in the property at 12 Ellerton House, Bryanston Square in London, though its legal ownership was transferred in the name of Skylite Investment FZE, a company incorporated in the UAE.

It was alleged the London property was taken care by arms dealer Sanjay Bhandari's nephew Sumit Chadha under Vadra's constant monitoring, instructions or directions.

Senior advocate Abhishek Manu Singhvi, representing Vadra, contended that the basis of the notices are documents of Bhandari, a statement given by Manoj Arora, said to be Vadra's close aide, and foreign enquiries and 18 e-mails.

He claimed that the department has not given time or supplied all documents to them.

Solicitor General Tushar Mehta, representing the I-T Department, said the first notice was issued to Vadra three years ago and the deadline to respond is May 31.

He said the petitioner sought 15 adjournments till now.

In a related development, the court posted for consideration on June 3, a batch of petitions by Congress leaders Sonia Gandhi, Rahul Gandhi and Priyanka Gandhi Vadra and others challenging the revenue department's decision to transfer their I-T assessments from one section to another on the ground that their cases will be treated along with Sanjay Bhandari's group.