CHENNAI: The Income Tax department informed the Madras High Court that it would take action against Ramanathapuram MP Navas Kani for the alleged suppression of income.
K. Venkatachalapathy of Tirunelveli had approached the court, contending that there was a significant discrepancy between the affidavits submitted by the IUML leader regarding his movable and immovable assets for the general elections in May 2019 and March 2024.
The petitioner further alleged that despite lodging a complaint regarding concealment of income, the Income Tax Department had failed to initiate any action, and therefore sought a direction to conduct a proper investigation.
A bench of Chief Justice MM Shrivastava and Justice G Arul Murugan heard the matter. Counsel for the Income Tax department submitted that the petitioner did not have to institute the current proceedings and the Department, based on the materials available, would have taken appropriate action in accordance with law.
The Bench directed the department to issue a notice to Navas Kani and adjourned the matter by two weeks. The Court further clarified that the pendency of the writ petition shall not operate as a bar to any statutory action by the Income Tax department.
In a connected matter, the petitioner also sought a direction to the Central Bureau of Investigation (CBI) to register a case alleging acquisition of disproportionate assets to the tune of Rs 23.58 crore.
The CBI, however, submitted that a preliminary inquiry conducted by a CBI DSP revealed that the increase in asset value reflected in the 2024 affidavit was attributable to the sale and reinvestment of properties, and that the increase was only 2.85 per cent, not 288 per cent as alleged.
It was therefore contended that no prima facie case was made out.
The Bench adjourned this matter for two weeks as well.