Tuesday, July 27, 2004
chronolgical events connected with income tax dept and high court
Chronological events in relation to the investigation department of the income tax of the case from March 1998 onwards.
1. DGIT D N Kar , Additional Director of Investigation had summoned me in March 1998 (and onwards) for reasons best known to him.
2. It was D N KAR who started probing about the transfer of shares of Rupmangalam and Flovin (both companies being owned by mody family members).I informed him that company auditor Mr.Hemant Kashiparekh be called so as to know the factual position and he was not extending cooperation to me even though he was my chartered accountant.
3. I could visualise that pressure was being exerted by Dhanyushya-belonging to Core Health care group and kashiparekh /soparkar to give my concurrence for transfer of shares /companies to this group.Kashiparekh and soparkar were the escrow persons to the mous between two parties and there were disputes between both the parties which were to be resolved.
4. D N Kar was used by these people as a sword on my head so that I extend cooperation and complete the formalities for transfer of these two companies as well as shares.D N Kar did not furnish any balance of Dhanyushya , auditor report for transfer of shares,valuation of shares before alleging transfer of shares.Nor did he produce certificate from the escrow persons that the shares and share transfer deeds were delivered by them by obtaining their written statements and nor did he furnish auditor certificate for transfer of shares from mr. Kashiparekh, the auditor of rupmanglam and flovin.
5. In case I open my mouth ,they can back date the transfer of shares on the strength of documents in possession of the escrows and this could have resulted in huge capital gains tax demand and penalties for me and my family.
6. Mr. Kar acted like GUARD protecting Dhanyusyha for illegal acquisition of companies. And I was virtually defenceless to protect my interest AS WELL AS MY RIGHTS IN THE COMPANIES. Any information I call for such as balance sheet , etc then, the information can be used to strengthen their position AND IT COULD BACK FIRE ON ME .
7. In short income tax department was used AS A MEANS TO COERCE ME TO EXTEND MY APPROVALS FOR TRANSFER OF COMPANIES. I DID NOT GIVE ANY PERMISSION EVEN THOUGH I WAS UNDER TREMENDOUS PRESSURE FROM THE INVESTIGATION WING.
8. In October 1998-dhanyushya issued legal NOTICES, ALLEGED that I and other mody family directors had resigned (on the basis of documents being obtained from the escrows ) and hence to hand over all the records of the companies to them and if not done than mody family would bear all the liability of the companies and criminal case under section 467 for utilising the funds of the company after so called date of resignation.
9. I brought the contents informally to the notice of Mr. D N Kar but he ignored to probe the matter for obvious reasons. He ignored to take necessary action to collect documentary evidence and statements of kashiparkeh,soparkar, jalundhwala of Dhanyushya for simple reason that all of them would be vulnerable to falsehoods and further complications.
10. It was around June 1999 I came to know that Jalundhwala on behalf of Rupmangalm, Flovin and Dhanyuhsya had created charge for Rs 12.5 crores.
11. I made a complaint to the Chief commissioner of Income tax and director genreral of income tax on 18-6-99 (link http://intad.blogspot.com/2004/06/letter-addressed-to-director-general_04.html
to acquire the property on account of illegal transfer of property.Mr. Betgiri was director general of income tax-investigation and he did not pursue the matter vigorously by looking into the matter.In case he would have taken prompt action on receipit of my letter dated 18-6-99, I would not have faced police remand in december 1999 because they would not have dared to take such drastic action against me as detailed statements could have been called from the investigation wing.
12. As I did not receive Betgiri's reply, I wrote to the vigilance department of Global trust bank on 24-7-99 (separate enclosure) which ultimately resulted in police remand for five days in December 99.
13. The investigation summoned me through their Rajshri Diwedi who came in place of D N Kar and my statement was recorded on may 10 2000 and he could sense that the matter of transfer of shares/company to new management was fishy.
14. On my letter and telegram , Director general Betgiri confirmed my allegations of tax evasion and informed me that the steps would be taken by the assessing officers of four companies and mody family as per his letter on 19-9-2000.link
http://intad.blogspot.com/2004/06/reply-by-director-general-to-my-letter.html-
15.Immediately after this letter , his subordinate Mr. V.D. Wakharkar took over the charge of Director General while Betgiri became Chief Commissioner of Income tax .
16. I wrote to by letters and by telegrams to wakharkar need for urgency as well as need for further steps in the investigation wing as different assessing officers would not be able to coordinate the matter and take prompt action. Some of the letters are being attached herewith in form of linkage.
Copy of my letter dated 23-10-2000 is marked as under:http://intad.blogspot.com/2004/06/letter-to-dgit-on-23-10-2000.html
SOME
TELEGRAMS SENT TO DIRECTOR GENERAL
http://intad.blogspot.com/2004/06/some-telegrams-sent-to-director.html
LETTER ADDRESSED TO DIRECTOR GENERAL ON 4-6-01
http://intad.blogspot.com/2004/06/letter-addressed-to-director-general.html
LETTER TO R DIWEDI ON 2-7-2001
http://intad.blogspot.com/2004/06/copy-of-letter-dated-2-7-2001.html LETTER TO
DIRECTOR GENERAL AND CHIEF COMMISSIONER OF INCOME TAX ON 3-3-03
http://intad.blogspot.com/2004/06/extract-of-letter-to-dgit-and-ccit-on.html
TELEGRAM TO DIRECTOR GENERAL ON 10-3-03
http://intad.blogspot.com/2004/06/telegram-to-director-general-of-income.html
NAME, DESIGNATION, CONTACT NUMBERS:
http://intad.blogspot.com/2004/06/name-designation-and-contact-numbers.html
SUMMARY OF VARIOUS LETTERS
http://intad.blogspot.com/2004/06/summary-of-reference-of-correspondence_04.html
http://intad.blogspot.com/2004_06_04_intad_archive.html
17. I met him personally in septemember 2001 and he advised me that he would not be able to do any thing - I should see the assessing officer.Indirectly , he conveyed threat to me in subtle form.
18. I met Rajiv Nabar who was assessing Dhanyushya as well as core health care and wrote a letter but he did nothing to give me official reply.
19. In December 2001 , I filed civil suit 5827/2001 in city civil court against dhanyushya, core health care , jatin jalundhwala and global trust bank. And court commissioner was appointed to take documents of ownesrship on avaljapti. And temporary injunction was obtained for transfer of property pending production of docuementary evidence.
20. Inspite of the assurance given by Jalundwala to the court commissioner for production of documents , he did not comply.
21. Dhanyushya immediately rushed to Gujarat high court and obtained stay for court commissioner as well as on the injunction by filing civil revision appeal 25 and 26. Mr soparkar appeared as counsellor to dhanyushaya stating that dhanyushaya, rupmanglam has been amalgamated into span medicals .
22. In January 2002 , I again wrote to Director general Roongta- who took over charge from Wakharkar and I also wrote to R Nabar , that dhanysuhya is not able to produce documentary evidence of ownership and hence extend cooperation to me . Both of them did not act inspite of my briefing them of city civil suit.
23. However, my assessing officer took steps to pass adverse assessment orders against me and my family members purely on assumption basis and without recording the statement of kashparkeh, jalundhwala and soparkar for obvious reasons the orders were passed in march 2002.
24. In Civil revision appeal 25 and 26 in civil suit 5827/2001 , Gujarat high court passed orders without going into the facts of the case that dhanyushaya would produce the documents to city civil court by april 26 2002 and the matter would be disposed by june 2002.The court commissioner report was smartly avoided by Gujarat high court .
25. None of them furnished documentary evidence and under most mysterious circumstances fire took place in the insurance building where Rajiv Nabar was sitting on second floor and where the documents of core health care and dhanyushay were being assessed.The fire took place around 29th april 2002.I had written to the auditor of Dhanyushya and Core Health care vide my letter on 17 April 2002 and posted the letter on 20 april 2002.
26. The fire did not destroy the documents of various companies in come tax department.
27. I filed complaint to CVC on 3-6-2002 with a copy to Central Board of Direct Taxes as well as new Director General -Roongta. link
28. The income tax department around aug/sept 2002 extorted tax demand from my wife and children which I was not aware as they had distanced themselves from me. 29. I filed complaint against Soparkar in September 2002 with Bar Council of Gujarat for his appearance as counsellor in Civil revision application 25 and 26 with malafide intention to protect himself from exposure of his misdeeds and that of his client.. Link
http://bcgsopar.blogspot.com/2004/06/complaint-against-mr-saurabh-soparkar.html 30. In October 2002 I received letter in connection to my complaint to Central Vigilance Commission .Link 31. I furnished reply to above letter in October 2002. Link
32. On 7th December 2002 , article appeared in Indian express as regards to Great bank robbery on Core Health Care. Link
http://www.indianexpress.com/archive_full_story.php?content_id=14332
33. On 10th December 2002 fire broke out in the Insurance building -fourth floor where the files of Core health care and Dhanyuhsya had been filed.This is very unusual and in interest of public secruity of government property, the steps need to be taken by verifying the balance sheet , recording the statements and cross verifying with the information provided by me.
34. In end of December 2002, I wrote to the DDIT furnishing important information on the balance sheet of dhanyushya .
35. In January 2003 , I wrote to the assessing officer of Rupmanglam . link not shown
36. I wrote to new Directior General Shri U P Singh and the Chief Commissioner of Income tax on 3-3-03 and telegram on 10-3-03 with a view to probe the matter of fire in the insurance building. Link not show here
37.The injunction in civil suit 5827/03 was lifted in April 2003 .
38. I filed appeal from order AFO 176/2003 (link) and civil application 3110/2003 (link) in the
Gujarat high court and I appeared as party in person.
My appeal from order was filed against Dhanyuhsya , Jalundhwala ,Core health care and Global Trust bank.
http://www.afo176.blogspot.com
http://www.ca3110.blogspot.com
39. The appeal from order was decide by lordship Miss R M Doshit on 24-06-2003 stating that “ No grounds for interference is made out. Hence dismissed.”
Only dhanyushya was represented in the high court by advocate u d shukla
None of them filed affidavit in reply and without calling for such affidavits the application was rejected. This was nothing but non speaking arbitary order.
40. Filed papers to Gujarat high court protesting appeal from order. http://penrevap.blogspot.com/ ( details are confidential )
41. Soparkar filed reply to bar council that he did not play role as escrow person in august 2003. 42. I furnished reply in September 2003 to BCG and copy marked to soparkar. Link http://bcgsopar.blogspot.com/2004/06/modys-reply-in-september- 2003-in.html
43. I wrote to Chief Justice of Gujarat High Court on 24-11-2003 , followed up by a telegram on 1-12-2003. Links not shown here
1. DGIT D N Kar , Additional Director of Investigation had summoned me in March 1998 (and onwards) for reasons best known to him.
2. It was D N KAR who started probing about the transfer of shares of Rupmangalam and Flovin (both companies being owned by mody family members).I informed him that company auditor Mr.Hemant Kashiparekh be called so as to know the factual position and he was not extending cooperation to me even though he was my chartered accountant.
3. I could visualise that pressure was being exerted by Dhanyushya-belonging to Core Health care group and kashiparekh /soparkar to give my concurrence for transfer of shares /companies to this group.Kashiparekh and soparkar were the escrow persons to the mous between two parties and there were disputes between both the parties which were to be resolved.
4. D N Kar was used by these people as a sword on my head so that I extend cooperation and complete the formalities for transfer of these two companies as well as shares.D N Kar did not furnish any balance of Dhanyushya , auditor report for transfer of shares,valuation of shares before alleging transfer of shares.Nor did he produce certificate from the escrow persons that the shares and share transfer deeds were delivered by them by obtaining their written statements and nor did he furnish auditor certificate for transfer of shares from mr. Kashiparekh, the auditor of rupmanglam and flovin.
5. In case I open my mouth ,they can back date the transfer of shares on the strength of documents in possession of the escrows and this could have resulted in huge capital gains tax demand and penalties for me and my family.
6. Mr. Kar acted like GUARD protecting Dhanyusyha for illegal acquisition of companies. And I was virtually defenceless to protect my interest AS WELL AS MY RIGHTS IN THE COMPANIES. Any information I call for such as balance sheet , etc then, the information can be used to strengthen their position AND IT COULD BACK FIRE ON ME .
7. In short income tax department was used AS A MEANS TO COERCE ME TO EXTEND MY APPROVALS FOR TRANSFER OF COMPANIES. I DID NOT GIVE ANY PERMISSION EVEN THOUGH I WAS UNDER TREMENDOUS PRESSURE FROM THE INVESTIGATION WING.
8. In October 1998-dhanyushya issued legal NOTICES, ALLEGED that I and other mody family directors had resigned (on the basis of documents being obtained from the escrows ) and hence to hand over all the records of the companies to them and if not done than mody family would bear all the liability of the companies and criminal case under section 467 for utilising the funds of the company after so called date of resignation.
9. I brought the contents informally to the notice of Mr. D N Kar but he ignored to probe the matter for obvious reasons. He ignored to take necessary action to collect documentary evidence and statements of kashiparkeh,soparkar, jalundhwala of Dhanyushya for simple reason that all of them would be vulnerable to falsehoods and further complications.
10. It was around June 1999 I came to know that Jalundhwala on behalf of Rupmangalm, Flovin and Dhanyuhsya had created charge for Rs 12.5 crores.
11. I made a complaint to the Chief commissioner of Income tax and director genreral of income tax on 18-6-99 (link http://intad.blogspot.com/2004/06/letter-addressed-to-director-general_04.html
to acquire the property on account of illegal transfer of property.Mr. Betgiri was director general of income tax-investigation and he did not pursue the matter vigorously by looking into the matter.In case he would have taken prompt action on receipit of my letter dated 18-6-99, I would not have faced police remand in december 1999 because they would not have dared to take such drastic action against me as detailed statements could have been called from the investigation wing.
12. As I did not receive Betgiri's reply, I wrote to the vigilance department of Global trust bank on 24-7-99 (separate enclosure) which ultimately resulted in police remand for five days in December 99.
13. The investigation summoned me through their Rajshri Diwedi who came in place of D N Kar and my statement was recorded on may 10 2000 and he could sense that the matter of transfer of shares/company to new management was fishy.
14. On my letter and telegram , Director general Betgiri confirmed my allegations of tax evasion and informed me that the steps would be taken by the assessing officers of four companies and mody family as per his letter on 19-9-2000.link
http://intad.blogspot.com/2004/06/reply-by-director-general-to-my-letter.html-
15.Immediately after this letter , his subordinate Mr. V.D. Wakharkar took over the charge of Director General while Betgiri became Chief Commissioner of Income tax .
16. I wrote to by letters and by telegrams to wakharkar need for urgency as well as need for further steps in the investigation wing as different assessing officers would not be able to coordinate the matter and take prompt action. Some of the letters are being attached herewith in form of linkage.
Copy of my letter dated 23-10-2000 is marked as under:http://intad.blogspot.com/2004/06/letter-to-dgit-on-23-10-2000.html
SOME
TELEGRAMS SENT TO DIRECTOR GENERAL
http://intad.blogspot.com/2004/06/some-telegrams-sent-to-director.html
LETTER ADDRESSED TO DIRECTOR GENERAL ON 4-6-01
http://intad.blogspot.com/2004/06/letter-addressed-to-director-general.html
LETTER TO R DIWEDI ON 2-7-2001
http://intad.blogspot.com/2004/06/copy-of-letter-dated-2-7-2001.html LETTER TO
DIRECTOR GENERAL AND CHIEF COMMISSIONER OF INCOME TAX ON 3-3-03
http://intad.blogspot.com/2004/06/extract-of-letter-to-dgit-and-ccit-on.html
TELEGRAM TO DIRECTOR GENERAL ON 10-3-03
http://intad.blogspot.com/2004/06/telegram-to-director-general-of-income.html
NAME, DESIGNATION, CONTACT NUMBERS:
http://intad.blogspot.com/2004/06/name-designation-and-contact-numbers.html
SUMMARY OF VARIOUS LETTERS
http://intad.blogspot.com/2004/06/summary-of-reference-of-correspondence_04.html
http://intad.blogspot.com/2004_06_04_intad_archive.html
17. I met him personally in septemember 2001 and he advised me that he would not be able to do any thing - I should see the assessing officer.Indirectly , he conveyed threat to me in subtle form.
18. I met Rajiv Nabar who was assessing Dhanyushya as well as core health care and wrote a letter but he did nothing to give me official reply.
19. In December 2001 , I filed civil suit 5827/2001 in city civil court against dhanyushya, core health care , jatin jalundhwala and global trust bank. And court commissioner was appointed to take documents of ownesrship on avaljapti. And temporary injunction was obtained for transfer of property pending production of docuementary evidence.
20. Inspite of the assurance given by Jalundwala to the court commissioner for production of documents , he did not comply.
21. Dhanyushya immediately rushed to Gujarat high court and obtained stay for court commissioner as well as on the injunction by filing civil revision appeal 25 and 26. Mr soparkar appeared as counsellor to dhanyushaya stating that dhanyushaya, rupmanglam has been amalgamated into span medicals .
22. In January 2002 , I again wrote to Director general Roongta- who took over charge from Wakharkar and I also wrote to R Nabar , that dhanysuhya is not able to produce documentary evidence of ownership and hence extend cooperation to me . Both of them did not act inspite of my briefing them of city civil suit.
23. However, my assessing officer took steps to pass adverse assessment orders against me and my family members purely on assumption basis and without recording the statement of kashparkeh, jalundhwala and soparkar for obvious reasons the orders were passed in march 2002.
24. In Civil revision appeal 25 and 26 in civil suit 5827/2001 , Gujarat high court passed orders without going into the facts of the case that dhanyushaya would produce the documents to city civil court by april 26 2002 and the matter would be disposed by june 2002.The court commissioner report was smartly avoided by Gujarat high court .
25. None of them furnished documentary evidence and under most mysterious circumstances fire took place in the insurance building where Rajiv Nabar was sitting on second floor and where the documents of core health care and dhanyushay were being assessed.The fire took place around 29th april 2002.I had written to the auditor of Dhanyushya and Core Health care vide my letter on 17 April 2002 and posted the letter on 20 april 2002.
26. The fire did not destroy the documents of various companies in come tax department.
27. I filed complaint to CVC on 3-6-2002 with a copy to Central Board of Direct Taxes as well as new Director General -Roongta. link
28. The income tax department around aug/sept 2002 extorted tax demand from my wife and children which I was not aware as they had distanced themselves from me. 29. I filed complaint against Soparkar in September 2002 with Bar Council of Gujarat for his appearance as counsellor in Civil revision application 25 and 26 with malafide intention to protect himself from exposure of his misdeeds and that of his client.. Link
http://bcgsopar.blogspot.com/2004/06/complaint-against-mr-saurabh-soparkar.html 30. In October 2002 I received letter in connection to my complaint to Central Vigilance Commission .Link 31. I furnished reply to above letter in October 2002. Link
32. On 7th December 2002 , article appeared in Indian express as regards to Great bank robbery on Core Health Care. Link
http://www.indianexpress.com/archive_full_story.php?content_id=14332
33. On 10th December 2002 fire broke out in the Insurance building -fourth floor where the files of Core health care and Dhanyuhsya had been filed.This is very unusual and in interest of public secruity of government property, the steps need to be taken by verifying the balance sheet , recording the statements and cross verifying with the information provided by me.
34. In end of December 2002, I wrote to the DDIT furnishing important information on the balance sheet of dhanyushya .
35. In January 2003 , I wrote to the assessing officer of Rupmanglam . link not shown
36. I wrote to new Directior General Shri U P Singh and the Chief Commissioner of Income tax on 3-3-03 and telegram on 10-3-03 with a view to probe the matter of fire in the insurance building. Link not show here
37.The injunction in civil suit 5827/03 was lifted in April 2003 .
38. I filed appeal from order AFO 176/2003 (link) and civil application 3110/2003 (link) in the
Gujarat high court and I appeared as party in person.
My appeal from order was filed against Dhanyuhsya , Jalundhwala ,Core health care and Global Trust bank.
http://www.afo176.blogspot.com
http://www.ca3110.blogspot.com
39. The appeal from order was decide by lordship Miss R M Doshit on 24-06-2003 stating that “ No grounds for interference is made out. Hence dismissed.”
Only dhanyushya was represented in the high court by advocate u d shukla
None of them filed affidavit in reply and without calling for such affidavits the application was rejected. This was nothing but non speaking arbitary order.
40. Filed papers to Gujarat high court protesting appeal from order. http://penrevap.blogspot.com/ ( details are confidential )
41. Soparkar filed reply to bar council that he did not play role as escrow person in august 2003. 42. I furnished reply in September 2003 to BCG and copy marked to soparkar. Link http://bcgsopar.blogspot.com/2004/06/modys-reply-in-september- 2003-in.html
43. I wrote to Chief Justice of Gujarat High Court on 24-11-2003 , followed up by a telegram on 1-12-2003. Links not shown here
Friday, July 16, 2004
Some Letters to Income tax department
letter to CIT-V Katheria
P.S.ModyC/o S.S.Modi40 BMM SOCIETYAHMEDABAD 380 006
dated 4-6-2003
THE COMMISSIONER OF INCOME TAX-V
NARAYAN CHAMBERS,
ASHRAM ROAD AHMEDABAD
PHONE 079-26576382,FAX 079-2754623
SIR,
FOR KIND ATTENTION OF SHRI M.C.KATHERIAYOUR REEF LETTER: hq-v/18/02-03 dated 2-4-2003
P.S.ModyC/o S.S.Modi40 BMM SOCIETYAHMEDABAD 380 006
dated 4-6-2003
THE COMMISSIONER OF INCOME TAX-V
NARAYAN CHAMBERS,
ASHRAM ROAD AHMEDABAD
PHONE 079-26576382,FAX 079-2754623
SIR,
FOR KIND ATTENTION OF SHRI M.C.KATHERIAYOUR REEF LETTER: hq-v/18/02-03 dated 2-4-2003
This is in reference to the hearing held on 3-6-2003 in regard to stay of demand for assessment year 96-97 pursuant to my letter dated 16-12-2002 attended by the undersigned in your office, where I delivered dated 3-6-2003 to you. For the reasons best known to you, you did not bother to read this letter nor ascribe logical reasoning as to why you preferred to reject my application for stay of demand.
----------------------------------------------------------
BY HAND DELIVERY
P.S. MODY
C/O S.S.MODI
40 BMM SOCIETYPALDI,
AHMEDABAD-6
SEPTEMBER 3,2003
SHRI R B SHUKLATHE CHIEF COMMISSIONER OF INCOME TAX-III
AAYKAR BHAVAN
ASHRAM ROAD AHMEDABAD
079-27544287, 079-27546244
Respected Sir,
SUBJECT: Application for stay of demand A.Yr. 96-97Amounting to Rs 7,83,354/- in individual reassessment order and Rs 6,34,724/- in HUFreassement order.===============================
2. I feel happy to note that you heard me positively , however, I may state that you had requested me and also persisted in asking me to sign certain writing as made by you in the “order sheet” once again (previously 16-3-04) inspite of my furnishing various documentary information and oral explanation. As far as I remember you have made me to sign on your writings as under:- “ Shri Pankaj Mody attended. He was asked toØ explain the taxability of Rupma Bunglow to the assessee Rupmanglam/Span Medicals. Shri Pankaj S Mody has given particulars of charge being created on the asset to GTB (Bank) in A.Y. 99-00 .The same shall be verified for that year. He is heard.” Dated 24-3-043. I had added my own comments and some of them are reproduced below:- My some of the immediate observations notedØ were: “ (a) detailed findings have not been made available to me… (b) the matter is sub-judice in the court under suit 5827/01 and at this stage, I cannot make any comments.”
2. On the contrary, you asked the undersigned to pay demand arbitrarily without furnishing detailed evidences as referred in my letters addressed to you and your subordinates.
3. You decided to operate from a stubborn and obstinate mindset-that you were not even ready to give a patient hearing to the subject matter and decided to close the matter within five to ten minutes. Morevoer, you have not even done your honmework to give a detailed reply to the letter addressed to ADCIT on Oct 17,2002 and letter addressed to the Assessing Officer dated 12-2-2003 with a copy of these letters marked to you.
4. In fact, you did not have any right to reject stay of demand and raise demand without giving detailed justification and evidence, especially when it is crystal clear from the contents of the balance sheet of company (claiming to have acquired shares) that the shares along with duly stamped transfer deeds have not been presented within validity period of two months which means that capital gains tax did not arise and had such evidence existed at the time of investigation carried out by Mr, D.N.Kar , he would have brought it to the notice of the assessing officer right then.
5. You were bound to give patient hearing and detailed reasoning with completed documentary evidence in the interest of natural justice. Your approach is nothing short of white collared terrorism and harassment so as to recover taxes without putting all the facts to complete logical conclusions.
6. You are called upon to show cause as to why you do not want to call the respective auditors of the companies, escrow persons and signatory to the share certificates effecting share transfer by recording their statement by collecting complete evidence especially when the assessment order has explicitly stated that the information has not been received from the company referred therein and your inaction in this regard confirms that you are in collusion with the auditors as well as signatory to the share certificates effecting share transfer. Unless, satisfactory explanation is offered by you, it would be construed that you are not a person of personal integrity and you along with your subordinates have accepted consideration for extending favor by shielding these persons. Your detailed reply shall reach within two working days of receipt of this letter along with steps taken by the assessing officer as outlined in my letter addressed to him on 12-2-03.
7. I am marking copy of this letter to the Central Vigilance Commission to initiate inquiry against you for your misconduct by extending favour to the persons referred above. 8. I look forward to your detailed, exhaustive and immediate explanation. Please note that you have to change your attitude and fully understand that you do not harass the citizens unnecessarily.9. You are called upon to furnish detailed reply so that I can submit application for stay of demand proceedings so that I can submit application for stay of demand to the Chief Commissioner of Income Tax and till then the demand proceedings are kept in abeyance.
Yours sincerely,
P.S.Mody
----------------------------------------------------------
BY HAND DELIVERY
P.S. MODY
C/O S.S.MODI
40 BMM SOCIETYPALDI,
AHMEDABAD-6
SEPTEMBER 3,2003
SHRI R B SHUKLATHE CHIEF COMMISSIONER OF INCOME TAX-III
AAYKAR BHAVAN
ASHRAM ROAD AHMEDABAD
079-27544287, 079-27546244
Respected Sir,
SUBJECT: Application for stay of demand A.Yr. 96-97Amounting to Rs 7,83,354/- in individual reassessment order and Rs 6,34,724/- in HUFreassement order.===============================
1. I commence my letter by quoting sloka from Geeta:-“ Paritraanyaya sadhumaaam viaashyacha dushritamDharma sansthaapaan aarthaya sambhavaami yuge yuge”.From time to time, any situation deteriorates and good systems become Ineffective or even harmful due to wrong practices. At that time, when things seem to be boiling, a courageous leader stands up- Now here in this situation , I and I alone take the responsibility to remove the evil practices and to establish right practices. A responsible leader corrects wrong and protects right. Our present President of the country has taken initiative to meet more than one lakh children/students in course of one year to inspire them to develop leadership qualities so that the citizens of the country can proudly sing a song of being an Indian.
2. Kindly refer to background letter dated 3-3-03 to your predecessor Chief Commissioner of Income Tax and letter from the Director General of Income Tax Investigation on 19-9-2000 where I have been thanked by the Director of Income Tax for drawing their attention of tax evasion by a group. Instead of conducting inquiries on this group and connected tax advocates and auditors simultaneously, your assessing officers has deliberately hand picked me and my family members for harassment so as to protect this particular group and the chartered accountants, tax consultantwho can influence the department officials. This is depriving natural justice and your staff is not being fair to me.
3. It should be endevour of staff working under you to treat all the assesses with dignity, respect and are not harassed whereby the assesses have to hire legal services of chartered accountants and advocates unnecessarily to protect themselves from inefficiencies of the tax department and there by burdening judiciary. In view of natural justice, why the officials of the department do not want to investigate the matter by recording the statements of chartered accountant, tax advocate and connected parties before making assessment on presumption as referred in my earlier letters to the department. Assessee ultimately ends up in raising funds to meet cost of litigation which may be as high as demand raised by the department.
4. I am briefly narrating the subject in nut shell as under:-
(a) This is in reference to the ex-parte reassessment orders passed by the A.O. 11(2) on 30-3-2002 for assessment year 96-97 raising huge demand in form of capital gains tax and the said order was reduced and revised demand of Rs. 7,83,354/- in my individual reassessment order and Rs. 6,34,724/- in my HUF reassment order was raised subsequently.
(b) Pursuant to the application for stay of demand and the admissions made to ADCIT dated Oct 17,2002 the stay of of demand was rejected outright without ascribing any detailed reasoning. There after I made application for stay of demand to Commissioner of Income Tax-V on December 16,2002. I also wrote to the assessing officer on 12-2-2003 and copy of the same was also marked to the Commissioner of Income Tax-V.
(c) At the time of hearing with Commissioner of Income Tax on 3-6-2003, I delivered letter dated 3-6-2003 to him. The matter was decided within 5-10 minutes and without giving any detailed reasoning to the contentions raised in my various letters he rejected my application for stay of demand and I was asked to pay the demand raised by the department and I was specifically told to leave the office immediately. On account of his inhuman and indifferent approach, I wrote letter on 4-6-2003 addressed to him and the subject matter has been ignored by him. I received letter from his office posted on 10-6-03 and received by the undersigned on 11-6-03 rejected my request for stay of demand while evading to furnish detailed logical explanation to the contentions raised in my previous letters to the department and letters addressed to him on 3-6-2003 and 4-6-2003. I do not wish to make any comments to his reply dated 4-6-2003 till I receive detailed action taken report and detailed findings.
(d) I humbly request you to call the necessary papers and immediatelyconducting detailed inquiries in interest of natural justice by persisting with staff working under you to give detailed explanation of the letters with human touch by carrying out detailed investigation instead of choosing route of escapism. Till then kindly grant stay of demand and ask them to refrain from using any methods of cooercion.
(e) You shall take departmental action against the officials working under you immediately to set an example so they behave responsibly and they understand that the government is for the people and they learn the lessons of treating the persons with dignity and honour instead of treating the citizens as vegetables.
5. I humbly request you to furnish detailed findings.
Thanking You.
Yours sincerely,
Pankaj S. Mody
Enclosure:
1) Letter to Commissioner of Income Tax-V on 3-6-03
2) Letter to Commissioner of Income Tax- V on 4-6-03
3) Two Demand rejection letters from Commissioner of Income Tax-V dated 4-6-03 .ccit-stay of demand
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LETTER TO ASSESSING OFFICER
FROM
Pankaj S. Mody
C/o Shri S.S, Modi
40 BMM SocietyPaldi,
Ahmedabad 380 006
DATED October 17, 2003
The Assessing Officer, 11(2)
Narayan Chambers, Ashram Road,
Ahmedabad
Sir,
Your ref letter: letter dated 23/9/2003 for recovery of demand
1. I hope you go through the contents of my letter very carefully as it appears that you have not gone through background material of this case and in the interest of natural justice , I humbly request you to put your self in my shoes and refrain from subjecting me to harassment and psychological torture. I am also enclosing article which appeared in newspaper Sandesh (Annex 1) which states that every issue need to be followed for logical conclusion. Many issues are to be cleared by you. Besides, I am the one who has furnished information of tax evasion and I have been thanked by DG vide his letter dated Seot 19,2000 and therefore, I have reason to expect fair treatment and not subjected to any harassment especially when the assessment orders are passed on assumptions and the facts have been distorted.
2. In July 2002, the assessing officer took intiative on his own to rectify some of the the mistakes which were apparent. I am sure such initiative can be taken by you in view of natural justice.
3. Kindly furnish copy of finding of Shri R. Diwedi of the investigation department to the undersigned the steps taken by you for collecting taxes from the companies as referred in the letter addressed to me by the DG in September 2000. Till the issue is resolved , to safeguard the interest of revenue , you have to attach the properties of the companies involved.
4. Kindly note that I have made application for stay of demand is pending with the concerned Chief Commissioner of Income Tax-III(Annex 2)is enclosed for your ready reference. Till then you refrain from any further action.
5. I have already brought to the notice of The CIT-Appeals as regards to my letter dated 12-2-03 addressed to the predecessor aseessing officer.(annex 3) You shall furnish findings in this regard.
6. Kindly refer to the assessment orders for 96-97, 97-98 and essential paragraphs are being reproduced from the assessment yr 1996-97 as under:-“ As per the details available, shares of FPPL were transferred on 1-3-1996 i.e. F.Y. 1995-96 and A.Y. 1996-97, whereas shares of RIPL were transferred on 3-4-1996 F.Y.1996-97 and A.Y. 1997-98. Now shares in a company is moveable property and transfer of moveable property is to be considered complete, as soon as moveable property is delivered along with completed transfer deed. Details were called from Dhanyushya as all the details are in its possession in respect of transfer of shares. Details have not been received from DFPL and hence it is not possible to give finding in respect of exact date of transfer of shares along with completed share transfer deed. It is a reasonable presumption that the shares must have been delivered , duly completed transfer forms, some days before the actual date of transfer recorded on the share certificate. As the transfer was registered on 3-4-1996, reasonable presumption or say possibly the shares must have been delivered a few days earlier i.e in the March 1996 i.e during the F..Y. 1995-96 and capital gains on it of transfer of shares, considering the circumstances, during the month of March 1996 and assess accordingly.”In your words you explain in writing what the above narration states and what requires to be done from your end.
7. In light of the above referred comments in the assessment order, I have reason to present my primae facie views that first needs to be rectified and cleared by you:-
(a) For the same issue the demand is raised twice. Once in assessment year96-97 and repeated again in assessment year 97-98 on protective basis. In the interest of justice , it is necessary to ascertain the facts first, and clarify first as to the year for which the alleged demand is applicable by conducting necessary inquiries.with Dhanyushya , Jalundhwala, and all concerned auditors and the escrow persons by obtaining joint statement and furnishing copy of their reply to me. You are a mature person and also having necessary authority to find information as the narration has already stated that the assessment order is passed on the basis of assumptions and details have not been obtained from Dhanyuhsya . In case you fail to furnish all necessary information in this regard, such raising of demand twice becomes illegal in the eyes of law. Therefore , as concerned assessing officer, it is your legal and moral duty and responsibility to clarify as to for what year the demand is applicable according to you by conducting detailed inquiries.
(b) From the assessment orders it is not clear that you have ascertained that Dhanyushya has received original share certificates and transfer deeds from the escrow persons. Therefore, in the interest of justice, it is necessary to first physically locate possession of original share certificates and original transfer deeds by obtaining the same from Dhanyuhysa and Jalundhwala and seize the same and offer the same for my inspection. Before justifying any demand from me, I have reason to feel that they do not have such share certificates and transfer deeds as they have not furnished such information in the suit filed by me.
(c) It has been on record that that Mr. Kashiparkeh is the auditor of Rupmanglam and Flovin in March 96 , April 1996 and he has filed the return for my personal assessment year 96-97. You can call this chartered accountant who files various returns in the department. There is no reason why you should not conduct inquiries by asking him to produced detailed documentary evidence to ascertain truth and on ground of natural justice (annex 4).
(d) In the interest of natural justice ,you are empowered to take initiative for obtaining detailed information from the auditors of Dhanyushya as regards to the particulars of audited balance sheet reflecting ownership of shares in 1996 proving that the shares along with completed transfer deeds have been presented within validity period of two months to the respective companies for effecting transfer of shares. In absence of such comments, you cannot raise any tax demand.
(e) In light of various MOUs where the name of escrow persons have beenreferred who were in possession of shares, transfer deeds, etc, you can take initiative of issuing notice to Dhanyuhysa and Jalundhwala as regards to they procuring written affidavit from the escrow persons as when the share certificates and transfer deeds have been delivered by them.
(f) How the office of assessing officer has assumed share valuation of Rs 2,40,000/share for face value of equity share amounting to Rs 100/share especially when there is no valuation report in this regard. What preventsyou to obtain such valuation report from the concerned auditor showing valuation of shares in 1996 and in 1998( 1998 in case of my brothers family) . On the basis of such valuation of shares of 15000 shares with voting rights , the value of the property would exceed Rs 300 croresand would require follow up action by attaching and acquiring the company properties.
(g) Please specify the steps by the office of the assessing officer, to obtain replies obtained from the auditors, escrows and directors of Dhanyuhshya as referred in the assessment orders of my other family members.
8. Please note that the factual position has been distorted and twisted by the predecessor assessing officer as regards to the findings of the investigation department. In case, Dhanyuhsya had received physical delivery of shares ,Mr. D. N.Kar of Investigation department would have drawn the attention of theAssessing officer around May 98 as he had already made inquiries on the advance received from Dhanyuhsya and even Mr. Diwedi who took over in May 99 also did not raise such issue and communicate the same to the assessing officer then . This shows distortion and twisting of facts. It was I who had drawn the attention of the investigation department and in particular Mr. R. Diwedi and Even at the time of recording of statement , he did not furnish any documentary evidence of shares and transfer deeds, et. which reflected that he had these details. Even the balances sheet of Dhanyushya for accounting year 96-97 did not reflect ownership of shares.
9. You are aware that a sum of Rs 14.40 lakhs (personal & huf) approximately only was received as advance from Dhanyuhsya which also included advance received for purchase of Core Biotech shares of the group company and therefore, there is no justification in clubbing any advance received in preceding financial year for the purpose of alleged capital gains tax without taking into consideration the facts in totality. In light of MOU, Dhanyuhsya and Jalundhwala has not obtained any written confirmation from the escrow persons have been physically delivered by the escrow persons to them. Besides, how come under common mou of all family members of mody family, the shares would be delivered by the escrows in 1996 and in 1998. I am furnishing primae facie evidence of Mr. Jalundhwala handwriting which confirms that the transfer deeds had not been delivered to the escrow persons(annex 8)10. I am drawing attention of the letter dated 16-12-2000 file no HQ III/101-M-26/FORM NO 34/AR 8/2000-2001 dated 26-12-2000. P.C.Verma . Commissioner of Income Tax, GUJARAT-III, Ahmedabad . P. C. Verma had given reply that “ I have perused your complaint. In this regard, the Assessing officers have been given appropriate instructions.” I am enclosing one of the letters in this regard for your reference. It is necessary that you the subject matter in total depth and rectify the wrong and great injustice done to me in issuing the ITCC to my wife and my son in haste by verifying the facts.(Refer annex 6,7,9).It is a fact that the ITCC has been issued by preceding assessing officer Mr. Gangadharan and ACIT Mr. Tanvani even when the return was not filed and only after I wrote letter to Registrar of Assurances , notice was issued for filing of return and it was only in Oct 2000 , the return was filed. The office of assessing office is already guilty of issuing of issuing ITCC immediately inhot hurry without verifying facts. I have already made detailed submissions covering all these aspects and and as mentioned earlier, the assessing officer was required to take necessary steps in this regard. It was the responsibility of the office of the assessing officer to inform the Matter to the investigation department way back and take appropriate action As the chavdas were raided in January 2003 and as on date the action has notBeen taken to acquire the property as there is violation of 37I permissionNot obtained.In this connection, I am reminding you, you do not have any option but to acquire bunglow so as to secure alleged recovery of taxes from the undersigned . This would enable you to obtain legitimate dues of tax. As it is grave and unpardonable illegal act on part of the office of assessing officer, you can rectify the situation by acquiring the immoveable property from the so called buyer before approaching me for any tax demand. As assessing officer , you are responsible as well as accountable to rectify the situation. I hope you would not wish that embarrassing situation are being avoided.Please note that once chavda disposes bunglow , you would not be able to make any recovery of taxes from me. This bunglow is your only security and therefore think deeply and act fast in your interest as well as interest of revenue. One would not allow the horse to run away from the stable.
11. I am also enclosing letter addressed to Mr. Kashiparekh which is self explanatory. . In case , he does not submit .detailed reply , you are bound to issue legal notice. I hope you do not want to extend any favour to him (annex 4).
12. Kindly read the annexure 10. I hope you can do deep introspection You also know what happened when dahsratha shot Shravana and he lost Rama evenwhen it was unconscious act. You are also aware of Bhisma playing silentspectator to Draupadi being stripped by Dushashana and he did nothing toprotect her. Bhishma paid his price. Read Gujarat samachar of 9th October 2003 to what Lord Krishna says.. Nature takes its revenge, when some one harms another person and even while knowing does nothing about it. I hope you have the sensitivity to act justly to find truth in the matter and calamity is not going to fall on you when you stand up to your superiors.
13. Please note there is no communication about speeding up the appeal between you and me as referred in your letter. Kindly also refer to my letter addressed to CIT –appeals (annex 11). Please note that without clay, there cannot be bricks, Without bricks , there cannot be foundation. Without foundation , there cannot be walls. Without walls, there cannot be roof. Without roof , there cannot be house. You shall have to start from basics. If one takes a wrong train in opposite direction, one needs to come back to catch right train. I hope you do not waste energy as well as unnecessary paper work without resolving fundamental issues.
14. I look forward to your detailed views to enable me to extend cooperation. Ireserve my additional comments after you furnish detailed homework is done at your end.I look forward to your detailed and exhaustive reply in interest of justice as well as action taken in this regard and stop harassing me.
Yours sincerely,
P S. Mody
Annexure
1) Article that appeared in Sandesh
2) Letter addressed to CCIT_III
3) Copy of letter to AO 12-2-03
4) Copy of letter addressed to Kashiparekh October 17,2003
5) Copy of letter addressed to CCIT 4-6-03.
6) Copy of letter addressed by CIT –Mr. P.C.Sharma
7) Copy of my reply dated 25-5-2001
8) handwriting of Mr. Jalundhwala that transfer form issue was pending till May 97.
9) Valuation of property, Registratar of assurance office
10)Press cutting.
11) letter to CIT appeal.
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FROM: P.S.Mody
SHRIS.S. MODI
40 BMM SOCIETY
AHMEDABAD 380 006
9-12-2003
SHRIS.S. MODI
40 BMM SOCIETY
AHMEDABAD 380 006
9-12-2003
TO
COMMISSIONER OF INCOME TAX –V
NARAYAN CHAMBERS
AHMEDABAD
NARAYAN CHAMBERS
AHMEDABAD
SIR,
This is in reference to the letter addressed to the assessing officer on 8-12-2003 and 17-10-2003. I am also drawing your attention to my letters addressed to you, one on 3-6-2003 and another on 4-6-2003. I gather that the concerned Mr. Kashiparekh has neither attended nor the department has taken any steps to call Mr. Kashiparekh, the auditor of Rupmanglam and Flovin Plastics Pvt Ltd.This comfirms that the department lacks the courage to call the auditor concerned and others involved and both you and the department are pawns and servants of the tax advocates and auditors and you do not have any shame in behaving this way and you do not even want to value and protect the prestige, dignity of the revenue department.In case you do not submit detailed findings and action taken report to me by tomorrow morning , it confirms that the tax advocate and the auditor are your personal touts and that of the department which prevents you to probe them as commissioner of income tax. and you are a traitor to the revenue department by not having guts to call them in interest of natural justice to the undersigned. You need to be personally ashamed as you are tarnishing the image of the income tax department and if you were personally ashamed of your conduct, then you would be compassionate enough to write apology letter addressed to me I am enclosing an article from Gujarat samcahar on 7-12-2003 - ekaj de chingari, so that you do some serious introspection about your conduct and conduct of staff working under you.
Yours sincerely,
Pankaj s Mody
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BY HAND DELIVERY
P S MODY
40 BMM SOCIETYPALDI ,
AHMEDABAD 380 006DATED
DATED 29-01-2004
The Tax Recovery Officer
Narayan Chambers
Ashram Road
Ahmedabad
Sir,
Sub: Summons under Rule 83 of the schedule 2nd to the I.T. Act File no: TRO-11/SPC/133-II/2002-03 (180-A) dated 22-1-04 For A.Y. 97-98, 98-99,99-2000===================================================
01. Please refer to your letter dated 22-1-2004 for recovery of tax demand.
02. I am drawing to your kind attention to the following information and happenings which you may not probably be aware of :-·
All the demands are raised on the basis of presumption basis as per various reassessment orders without verifying the facts first.· The appeal is pending before the Commissioner of Income Tax-XVII.· I have filed application for stay of demand to the learned Chief Commissioner of Income Tax-III on 3-9-2003 and the application for stay of demand is pending before him. The copy of my letter date 9-12-2003 is enclosed herewith for your reference.. · I have written to the Assessing Officer 11(2) dated 12-2-2003 and 17-10-2003 and 8-12-2003 .Copies are enclosed herewith. I may state that the assessing officer lacks sensitivity to be a compassionate human being. When he is able to sleep inspite of my efforts to wake him up, it means that he is playing deaf and dumb or he has joined hands with the auditors, tax consultants and the directors of Dhanyushya Financial Ltd . He has deliberately blindfolded like Gandhari and does not want to lift the curtain from his eyes All he is interested in his take home salary and does not mind harassing the assesses for no rhyme or reason. He is not a kid that he requires spoon feeding from his bosses. He is supposed to be educated officer. He is also expectedly not a coward type of person that he cannot conduct inquiries against the auditors in view of natural justice to the undersigned. I sincerely wish that you go through the contents of the letter several times, understand and grasp the subject matter in depth and demand detailed written explanation from the assessing officer before pursuing the matter further. I would like to have your feedback on those points at an early date. · I have written to the Commissioner of Income Tax, Mr. M. C. Katheria,vide letters dated 16-12-2003, 3-6-2003 , 4-6-2003 and my letter dated 9-12-2003. In absence of his reply and response, one can conclude that he has joined hands with the auditors , tax consultant and directors of Dhanyuhsya Financial Ltd. I hope that you have courage to write to your boss to write a no nonsense letter addressed to him and demand from him to furnish a detailed copy of explanation, evidences, statements, etc. to the undersigned. He is not a baby that he requires spoon feeding.
03. In the interest of natural justice, I request you to take following steps:- a. I have my deposits lying in Flovin Plastics Pvt Ltd. You shall attach all the assets of Span Medicals Ltd and Dhanyushya Financial Ltd. who has claimed to have amalgamated Flovin Plastics Pvt Ltd. b. You shall attach and acquire Bunglow no 1 called amrashagun situated in Ramdevnagar near Satyagrahchavni immediately as the assessing officer Mr. Gangadharan and Mr. Vinod Tanvani had given immediate tax clearance in a hot hurry without verifying the facts in the interest of revenue and gave clearance for a sale consideration of Rs 18.00 LAKHS WHICH IS SUBSTANTIALLY LOWER THAN PURCHASE PRICE OF RS 24.00 LAKHS AND IN TOTAL DISREGARD OF PROVISIONS OF 37I. In the interest of revenue of collecting taxes from Chavdas –the so called purchaser , you and the department are duty bound to attach and acquire the referred bunglow. The concerned Commissioner of Income tax had issued instructions to the assessing officer in light of my letter addressed to him. All the information are available with the department in this regard. Even when the Investigation department has raided the chavdas in January 2003 , how come chavdas are permitted to go scot free inspite of all the information available with the Income tax wing much prior to January 2003 as provided by the undersigned.c. All the tax forcibly recovered from my wife, my daughter and my son, is without any justification and have been extracted from them by scaring them and without ascertaining the facts and you shall immediately refund the amount to the undersigned, as in fact, that the department has made recovery of tax demand. As I am the director of Rupmanglam and Flovin , When the shares have been alleged to be transferred, the shares cannot be transferred by any one and no demand can raised by the department for capital gains tax from them without my written approval in the board meetings of the company.d. As I have been informant of tax evasion and as Mr. Betgiri, Director General of Income tax-Investigation has confirmed my allegations of tax evasion , I , as an informant am entitled to claim amount reward by the department and I am exercising my right for the same and you shall collect the same and keep it in separate bank account under joint signature, immediately under intimation to me .e. To give full justification to the spirit of the letter dated September 19,2000issued to the undersigned, in order to have an holistic and coherent view , the department is supposed to attach and acquire Rupam bunglow as there would be loss of revenue on account of total disregard to the provisions of S 123 of Transfer of Property Act and provisions of 37I of Chapter XX-C of the Income tax Act..
04. I do not have any source of income and nor do I have any bank balance to pay illegitimate tax demands raised by the department. which you may kindly note. In absence of detailed reply to queries satisfactorily, you are not legally and ethically justified in initiating steps for recovery of tax from the undersigned. Any methods of using coercion to extort tax without fully justifying the demand is going against the principles of natural justice to any citizen of the country and is liable to be questioned before the National Human Rights Commission at your cost and consequences, New Delhi. which you must note carefully. I have reason to believe that as per the provisions of the Right To Information Act , I am entitled to full information.
05. In absence of your detailed reply , evidence, etc from you as well as concerned department officials , it would be construed that your demand is purely on presumptions and is without any justification.
06. Your detailed reply would be very much appreciated.
Thanking you.
Yours sincerely,
P S MODY
Annexure:
1) Correspondence with assessing officer,11(2)
2) Correspondence with Commissioner of Income Tax , V
3) Correspondence with The Chief Commissioner of Income Tax-IIICOPY MARKED TO:
1) THE ASSESSING OFFICER, 11(2)
2) THE ADDITIONAL C.I.T- RANGE 11
3
) THE COMMISSIONER OF INCOMETAX- V
4) THE CHIEF COMMISSIONER OF INCOME TAX-III
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LETTER BY P S MODY TO CIT APPEALS
By hand delivery
P. S Mody
Janmangal Apt,
40 BMM SocietyAhmedabad 380 006
24-2-2004
The Commissioner of Income Tax-Appeals (XVII)
Nature View BuildingAshram Road
Ahmedabad
Respected Sir,
Subject: appeals pending before you in case of individual and huf1.
This is in reference to the above appeal pending before you. I sincerely hope that the contents of my present letter are reread again.
2. I am narrating sequence of background information for your kind observation as under:-• As the case was examined in March 1998 by the ADI-Mr. D.N.Kar of the Investigation department, Unit 1(4), it is necessary to have that I be given a copy of such report along with observations and statements made by Dhanyuhysa and their associates. • Mr. D.N.KAR in case he had concrete evidence of shares being transferred to Dhanyushya in March 96/April 96 , he would have furnished such documentary evidence at the time of interrogation and sought my explanation. He would have also passed on such concrete evidence to the assessing officer for raising the demand .The fact that he did not furnish such concrete evidence to me and the assessing officer , meant that the shares and transfer deeds were not handed over by the escrow persons consisting of Mr. Hemant Kashiparekh and Mr. Saurabh Soparkar to Mr. Jalundhwala and/or Dhanyuhsya Finanicial Pvt Ltd in 1996 but much later. • On the basis of pressure exerted by Mr. Jalundhwala and other interested persons (such as Mr. Kashiparekh and Mr. Soparkar) on Mr. D.N.Kar, Mr. D.N.Kar made a phone call to Mr. Kashiparekh on 22-4-98 referring valuation of shares so as to scare me so as to hand over fresh transfer deeds issued in 1998 to the escrow persons.In case , he had such information of change in transfer of shares, he would have verified it by examining the audited balance sheet of Dhanyushya for period ending 95-96 and period ending 96-97 as part of routine investigation on Dhanyushya and on Mr. Jalundhwala. He would have been aware that the transfer of shares were not reflected in the audited balance sheet of Dhanyushya for period ending 95-96 and period ending 96-97. I was aware that the escrow persons had not delivered the shares and transfer deeds in march 96/april 96 as there were major issues of disputes and noncompliances by dhanyushya as regards to the conditions of mous. In absence of copy of the said balance sheet with me , there were chances that they would manipulate the balance sheet so as to show as if the share transfer could be shown by backdating the transaction at a future date. In view of investigation, my brother and my parents were cajoled and pressurized into handing over fresh transfer deeds in 1998 by Mr. Kashiparekh himself. • Mr. Kar was avoiding to investigate the matter , when I had conveyed information on notices from Dhanyushya in 1998 by collecting the facts from Dhanyushya and Mr. Kashiparekh.• Me. Diwedi who took over the charge from Mr. Kar, issued notice to the undersigned for my personal appearance and even at the time of issue of notice , he did not have any specific information that the shares were transferred in 1996 when he took charge from Mr. D.N.Kar. In case, he has such information , before he issued notice to me in March 2000, and he would have brought it to the knowledge of the assessing officer based on interim findings of Mr. D.N.Kar submitting detailed findings of Mr. D.N.Kar.• The fact that the assessing officer did not have case of pending reassessment demand is clear from the way income-tax clearance was issued in case of my wife and my son in month of June 2000.• The assessing officer promised to furnish reasons for reopening of reassessment vide his letter dated 26-6-2001 after my reply. Even though , I gave a reply vide my letter dated 28-6-2001 by specifically calling reasons.• The assessing officer never communicated such reasons to the undersigned and passed assessment orders on basis of presumptions only as apparent from the assessment orders of my various family members. • Even when, he had no valid reasons , he issues notices on 28-3-2002 and passes exparte assessment order in a hot hurry. I have reason to believe that other members of mody family were assessed by him and Mr. Kashiparekh appeared for them. and he had been under influence of Mr. Kashiparekh to pass such adverse orders. • The assessing officer has confirmed that he did not have transfer deeds , meaning that he did not have any means to ascertain the value per share as Rs 2,40,000 per share in relation to shares of Rupmanglam.• On the basis of total 15,000 shares ( equity and preference shares) comprising of voting rights, no buyers would consider it prudent to purchase 40 shares in 1996 valued at Rs 2,40,000 per share as it would tantamount to valuation of company assets at Rs three hundred sixty crores which you would agree is absurd. The assessing officer did not call for valuation report from the auditor of Rupmanglam in view of proceedings of investigation as referred in my letter addressed on 18-6-99 to the Chief Commissioner of Income Tax and Director General of Income tax where Mr. Kashiparekh has acknowledged receiving a call from Mr. Kar.3. In order to come to right conclusions, I most humbly request you to collect and ascertain following facts:• The same demand cannot be raised twice, once in assessment year 96-97 and same demand on protective basis again in assessment year 97-98. It is therefore absolutely essential to ascertain the facts, that is whether the alleged demand is in 96-97 or 97-98. This can be ascertained by issuing notice to Dhanyushya Financial Pvt Ltd, the directors of Dhanyushya –i.e. Mr. Jalundhwala and the auditors of Dhanyuhsya Financial Pvt Ltd. and the auditors of Rupmanglam Investment Pvt Ltd.• In view of the mous referred in the assessment order , Mr. Jalundhwala is called upon to produce written confirmation from the escrow persons that they have delivered the share certificates and transfer deeds to Jalundhwala and/or Dhanyuhsya in year 1996.In absence of such confirmation from the escrow persons , Dhanyuhsya does not get legal title of shares of Rupmanglam and that of property of Rupmanglam. • Dhanyushya is called upon to furnish certified copy of audited balance sheet of DFL showing acquisition of ownership of these shares. • Dhanyushya and Jalundwala are called upon to produce the original transfer deeds and the original share certificates belonging to me and my family members. • A copy of detailed findings from the investigation department is made available to me for my comments in view of natural justice to me.• In view of my letter addressed to Kashiparekh dated 17-10-2003, whether the auditor of Rupmanglam confirms and endorses legal transfer of shares by the board of directors of Rupmanglam.by giving his written affidavit. and his signature identified by his bankers as witnesses. • As I being the director in 1996 even according to Mr.Jalundhwala, he need to be called upon to furnish minute book records of Rupmanglam which he is deliberately avoiding to furnish. Any such documentary evidence, produced at a future date has no value as an evidence especially when I have repeatedly called for such information from the income tax department several times. The assessing officer and the concerned investigating officer of the investigation department is called upon in my presence to furnish such information , failing which it can be concluded that the shares are not owned by them and you have no alternative but to DIRECT seizing OF such shares and attach the assets of Rupmanglam Investment Pvt Ltd in the interest of revenue as the investigation department has acknowledged to me that there is tax evasion by four companies.
4. I most humbly request you to look into following submissions in view of natural justice:• Wrting one single letter to the department involves cost of typing, Xeroxing and to/fro expense for delivering the same to the department and involves investment in time and it is expected of the assessing officers and their additional commissioner of income tax and their Commissioner of Income Tax ( I am referring Mr. M.C.Katheria ) to treat the assesses as human beinga and not as his servants. He and his staff working under him are expected to give a detailed reply to my letters addressed from time to time and not dodge the issues by passing the responsibility on your shoulders especially when they make mistakes. This is natural law of justice and this prevails over any other excuses. • Secondly , the conduct of CIT and their subordinates are like dushanana disrobing draupadi especially when they have extorted taxes from my wife and my daughter without a valid reason. They are not even ashamed of their acts and have no understanding to rectify the situation by returning the funds collected by them to the head of the family , that is the undersigned. • Mr. Katheria needs to draw lessons from Telgi stamp case and the cases which involved nexus of advocates and the judge at a Metropolitan Court in Ahmedabad. Mr. Katheria and his staff , in view of my letters has confirmed that he has nexus between him and the chartered accountant Mr.Kashiparekh and others. Any common person would be able to see through it. • I have also addressed letter to the Tax Recovery Officer on 29-1-2004 and copy has been marked by me to Mr. Katheria and Mr. Rawal and I as a citizen of a democratic country have basic right to information in the natural justice.• As I am unable to afford legal fees of engaging a tax advocate , the income tax department shall give legal support in form a highly competent legal help of a counselor to represent my case before you. and the cost borne by the department. • I hope that your colleagues treat the assesses like with respect , sanman and dignity and refrain from choosing escape mechanism when the errors are done by the officers working under them The department need to understand what our beloved Gandhiji said – “The customer is most ……..”. The assesses are your customers. 5. It is my earnest appeal that you give a deep thought to my contents of my present letter and take a detached view and do not get carried away by the blindness , deafness ,dumbness and excuses of Commissioner of Income Tax , Mr. Katheria and his subordinates. But take drastic steps to pull them up the way our honourable Chief Justice of Supreme Court of India has realized it after the episode of nexus between advocates and the magistrate.
6. In order to move systematically , it is necessary to have this preliminary information from the concerned assessing officer so that further issues can be closely examined. I have already furnished copies of letter addressed to the assessing officers vide my letter dated 5-1-2004.
7. I am writing this letter with deep anguish and pain and I hope that you feel and understand the pain and anguish of a common citizen. when I have to arrange for funds from outside to draft and retype this letter to you. to prevent harassment by the department’s scoundrel Dushashana and Ravan sitting in the Narayan chambers. The department wants to enjoy breaking of the small families to support the great bank robbers, their chartered accountants and tax consultants so that they and the department officials flourish and enjoy respect in the society. The extract of the Chief Minister is being referred as under so that the staff in Narayan Chambers start understanding and implementing. I am absolutely determined to disturb their deep slumber of Kumbhkarna.
Thanking you.
Yours truly,
P S Mody
REPRODUCTION OF ARTICLE WHICH APPEARED IN INDIAN EXPRESSCM’s advice for babus: turn karmayogisExpress News ServiceGandhinagar, February 10: CHIEF Minister Narendra Modi’s brain child — V-Governance (vibrant governance) — the Karmayogi Mahaabhiyan was launched at Town Hall in Gandhinagar on Tuesday. This project was conceived to impart re-orientation training to 5 lakh government employees across the State to make them a people-friendly force. The project is expected to be completed by December 2005. At the launch, Modi was at his best exhorting government employees and officers to get into the karmayogi mould and work hard with a team spirit to make the administration people-oriented. The babus listened to their ‘political master’ with rapt attention for over 90 minutes. ‘‘Can we afford to have a rigid, insipid administration? Who will wipe the tears of the poor and needy? Will you prefer to be mere silent spectators to your own colleagues running from pillar to post to get their pension papers cleared?’’ were few of the pointed questions that Modi directed at the babus. He said the training project aimed to create a right kind of work culture and ambience in government offices and stir human sensitivity in employees. ‘‘Through the project, I don’t want to impose a particular ideology or a system on you. My efforts are only to tap your hidden potential for the betterment of our society,’’ Modi explained. Modi said the project was conceived after weighing all the pros and cons at every level of the administration. He had held a series of workshops and chintan bethaks with government employees, right from peons and drivers to secretaries, over the last two years. ‘‘You’ll be able to protect your interests only if you protect the people’s interests,’’ he said. Decrying attempts to rake up a controversy over the training project and the expenditure involved in it, Modi said a professional agency was engaged to implement the project quickly and effectively. ‘‘Don’t get into this controversy and carry on with the project,’’ he advised the gathering. Ravi Parthsarthi, the managing director of Mumbai-based Infrastructure Leasing and Financial Services (IL & FS), said his firm was proud to be a partner in the project that was aimed at changing the attitude of government employees and officers and making the State administration vibrant. Speaking on the occasion, Chief Secretary P K Laheri said the administrative machinery was meant to redress people’s grievances and bring about an all-round development in the State. But, the common man’s main complaint against the administration has been that ‘nothing is moving in the right direction’. It is the primary duty of officers to take quick decisions and resolve people’s problems.
=================================
By hand delivery
P S MODY
C/O SHRI S S MODY
40 BMM SOCIETY
PALDIAHMEDABAD 380 006
C/O SHRI S S MODY
40 BMM SOCIETY
PALDIAHMEDABAD 380 006
DATED26-03-04
The Assistant Commisioner of Income Tax, Range 8Ajanta Chambers
Ashram Road
Ahmedabad
Ashram Road
Ahmedabad
Sir,
For: Kind attention of Shri Sanjay Deshmukh
Subject:- Your notice u .S 133(6) dated 5th March 2004 received after 9th March that is on 15th March 04 and my discussions with you on 16th March 04 as regards as the assessment of Rupmangalam Investment Pvt Ltd for the assessment year 95-96, 96-97, 97-98.
Reference letters:- my letter dated 19-3-04 , 10-01-03
=================================================
Reference letters:- my letter dated 19-3-04 , 10-01-03
=================================================
1. Please refer to my detailed reply dated 19-3-04. As you are well aware, after submitting the above quoted reply dated19-3-04, I had personally and voluntarily attended before you to explain the entire position in details, with a hope that you would take prompt necessary action against all the concerned assesses including Span Medicals, Dhanyushya Financial , Soparkars, Kashiparekhs, Jalundhwala ,etc in the interest of revenue especially when I had explained all the particulars to your predecessor Mrs Smiti. Samant ACIT, Range 8 vide my letter dated 10-01-03 and had explained all the particulars.
2. I feel happy to note that you heard me positively , however, I may state that you had requested me and also persisted in asking me to sign certain writing as made by you in the “order sheet” once again (previously 16-3-04) inspite of my furnishing various documentary information and oral explanation. As far as I remember you have made me to sign on your writings as under:- “ Shri Pankaj Mody attended. He was asked toØ explain the taxability of Rupma Bunglow to the assessee Rupmanglam/Span Medicals. Shri Pankaj S Mody has given particulars of charge being created on the asset to GTB (Bank) in A.Y. 99-00 .The same shall be verified for that year. He is heard.” Dated 24-3-043. I had added my own comments and some of them are reproduced below:- My some of the immediate observations notedØ were: “ (a) detailed findings have not been made available to me… (b) the matter is sub-judice in the court under suit 5827/01 and at this stage, I cannot make any comments.”
4. By this letter, I request you not to ignore the contents of my letter dated 19-3-2004. I feel that it would be in the interest of both justice and revenue for you to reproduce the entire contents of the three page letter 19-3-04 and 10-3-03 in your assessment order so that the higher authorities may not find difficult to adjudiciate in the appellate matters in the interest of justice, equity and good conscience , in case, if necessary . Sir, Please note that any failure on your part to do can be construed as causing injustice to me and favour to the tax defaulters and evaders.
5. Sir, I hope that you will take this letter in right spirit in the interest of justice and do the needful in the matter at your earliest.
6. Kindly acknowledge the receipt of this letter.
Yours faithfully,
Pankaj S. Mody
Pankaj S. Mody
P S MODY
C/O SHRI S S MODI
40 BMM SOCIETY, PALDI
AHMEDABAD 380 0061
DATED 19-3-04
The Assistant Commissioner of Income Tax- Range 8,
4th Floor, Ajanta Chambers, Ahmedabad
Respected Sir,
For Kind attention of Shri Sanjay Deshmukh.Subject: Your notice u S 133(6) dated 5th March 2004 received after9th march that is on 15th March 04 and My discussions with you on 16th March 04 as regards to the assessment of Rupmanglam for assessment year 95-96,96-97,97-98 =================================================================
1. I have already furnished a copy of letter addressed to ACIT-Range 8 on 10-1-03, a copy of notice from Ashok D shah dated 12-12-98,copy of letter addressed to DDIT Unit 1(4) on 11-5-2000 showing list of documents submitted to him, copy of mou between shareholders of Rupmanglam and Dhanyuhsya showing Hemant Kashiparekh and Saurabh soparkar as escrow persons and witnessed by ashish kashiparekh, son of hemant kashiparekh, letter addressed to Mr. Saurabh Soparkar 6-8-2002 , copy of notice served to Global trust bank in December 1999 through advocate J J Patel, copy of form 8 filed in respect of charge creation in respect of dhanyuhsya showing creation on charge on constructed portion too, copy of record of right in 1998, copy of complaint letter against Mr. Soparkar in September 02 made to the Bar council of Gujarat, copy of letter addressed to the vigilance department on 24-7-99.
2. It appears that the letter addressed to your predecessor ACIT, Range 8 on 10-1-03 is missing in your files and it appears that the said letter has been removed for some specific reasons by someone. It also appears that , the predecessor ACIT , Mrs. Smiti Samant dodged to make necessary inquiries referred therein with a view to shield the persons there in and has passed on the burden to the person who would be taking over her charge . From the discussions, I had with you and the contents of the log page bearing signature of H Kashiparekh in febraury , it appears that minute and detailed inquiries have not been made in absence of the above letter with you. On account of copy of the letter furnished by me, I humbly request you to conduct thorough inquiries so that I am not deprived of true justice to the undersigned , even if you are limited by time constraint imposed on you on account of negligence on the part of your predecessor ACIT. .
3. In view of the contents of para 2(e), 2(f), 2(g), you are required to take up the issue of amalagamation done by them by seeking endorsement from the High Court . This amalagamation was done only after my submissions recorded by the DDIT, Unit 1(4) on 10-5-2000 pursuant to my letter dated 18-6-99 where I had furnished sensitive information to the department to acquire the immoveable property on account of tax evasion which was later confirmed by the DG’s letter dated September 19, 2000. You have to recover the taxes from them while legally ,ethically and morally you are bound to safeguard my interest in Rupmanglam and Flovin and instead of blindly accepting the amalagamation , you have to ask them to have the amalgamation reversed in view of matter explained to you in depth on 16th March 2004.
4. I am enclosing a copy of acknowledgment of return filed under the signature of Mr. Pankaj S. Mody, director of Rupmanglam Investment Private Ltd dated 3-3-1997 on behalf of Rupmanglam Investment Pvt Ltd (showing address as Rupam, Near Gita Baug Society,Nr. Parimal Rly Crossing, Paldi, Ahmedabad 380 007) for the assessment year 1996-97 showing loss of Rs 5261 and receipt acknowledged by the Income Tax Officer, Ward 7(2) dated 10-3-97 and bearing receipt number 1397. During the discussions on 16th March 2004 with the undersigned , you have already verified the particulars from the records existing with you and even if you remain silent , you acknowledge presence of this document under my signature with you.
5. Eventhough your letter addressed to me has been addressed as gentleman, my presence on 16th March cleared your doubts , when you referred to the acknowledgment copy of return filed for assessment year 96-97 which showed date of receipt as 10-3-97 and acknowledgment receipt number of bearing my signature on 3-3-1997 as director of Rupmanglam Investment Pvt Ltd. In absence of any contradictions supported by documentary evidence on receipt of present letter, you have acknowledged my presence as director of the company in 1997 based on acknowledgment copy available in your records.
6. Mr. Hemant Kashiparekh is just a mere auditor of the company and what ever statements he has made or is going to make , they are not binding on me, in view of my position in the company. It is necessary that he is called upon immediately, to furnish detailed replies to the letters written to him in form of affidavit as referred in my letter in January 2003. This is essential so as to examine all the issues in totality and not from the perspective of Mr. Kashiparekh as he is not the owner of the company. In view of his silence, his silence has to be pierced and in case , you choose otherwise, it may affect you at a later stage.
7. In view of my correspondence with the department , and the contents of the letter from Director General of Income tax-Investigation on September 19,2000 and in the interest of true justice and being fair to me , you need to ascertain all the facts on ownership of company, ownership of shares and furnish the same to me as I have natural fundamental right of such information and you as assessing officer cannot deprive me by not providing the same under any pretext whatsoever.8. In view of my letter dated 10/1/03 , Mr. Kashiparekh is conveyed that as auditor of Rupmanglam Investment Private Ltd, Flovin Plastics Pvt Ltd and Span Medicals , he is called upon to adduce all documentary evidence in form of minute book records of directors and shareholders of RIPL and FPPL bearing signature of P Mody that the shares along with stamped transfer deeds have been presented within validity period of two months to the legal board of Directors of Rupmanglam and Flovin and the referred shares are also reflected in Dhanyuhsya Financial balance sheet of 1996 and confirmed by the auditors of Dhanyuhsya , that is M/s Shah and Shah. Associates. Based on such documentary evidence and his certificate , he is called upon to furnish auditor certificate that Span Medicals are the legal owners of Rupmanglam and Flovin immoveable property and the companies in question and he confirms that he is fully satisfied about the compliance. In case , you fail to provide his confirmation along with documentary evidence to the undersigned within a week of this letter, it would confirm that Span Medicals are not legal owners of the property inspite of the orders passed by the high court and it would be your responsibility to protect my interest , right , title in Rupmanglam Investment Pvt Ltd and Flovin Plastics Pvt Ltd.9. I would also like to draw your attention , that in case mody family members have resigned from the board of directors of Rupmanglam Investment Pvt Ltd on 17-9-1996, then you have to collect wealth tax on the assets of RIPL,FPPL and Dhanyuhsya taking into consideration charge created on 19% share in the property for Rs 12.5 crores and owned by Dhanyushya. Such wealth tax is applicable for every year. It is also interesting to note that they have not obtained Income tax clearance certificate from the assessing officer for creation of charge which is deliberate especially when the funds have not been used by them but by Core Health Care and this is done in connivance of Global Trust Bank. In absence of incometax clearance certificate and huge wealth tax liability as per the provisons of income tax act , you are required to attach the property. 10. I would like to draw your attention that the permission under provisions of Chapter XX-C of the Income tax act has not been taken by them especially when the constructed portion exclusively belonging to Rupmanglam has been shown by Dhanyuhysa by way of Form 8 filed with ROC and also on account of Rupmanglam and Flovin being shown as subsidiary of Dhanyuhsya in their audited balance sheet 1998. For such transfers, you are required to charge capital gains tax on the entire assets of Rupmanglam and Flovin transferred to Dhanyushya and by attaching the entire bunglow for the moment. 11. As the escrows were holding the share certificates and transfer deeds and handed over by them without written consent , it is necessary to charge them for capital gains tax and also attach all their personal assets. 12. As your predecessor ACIT has failed to record the statement and collect all documentary evidences in view of my previous letter dated 10th January 2003 and has failed to attach and acquire the property , I defer my additional observations in the matter for time being. 13. I sincerely hope that , you look into the matter in the broader interest of revenue without extending favour to Dhanyuhsya , Handas, Core Health Care, Kashiparekhs, jalundhwala, ameet desai, Global Trust bank, Soparkars and the auditors M/s Shah and Shah. This is challenging task for you. But so also is going to be the recognition from the Finance Ministry for catching hold of great bank robbers and their associates.
Yours sincerely,
Pankaj S. Mody
=======================================
P S MODY
C/O SHRI S S MODY
40 BMM SOCIETYPALDI
AHMEDABAD26-3-04T
he Tax Recovery Officer,Range 11,
NarYn ChambersAshram RoadAhmedabad
Sir, Sub:- Recovery of tax demand from the undersigned in view of my earlierDated January 29,04 addressed to you. =================================================
1. This is in reference to the tax recovery proceedings initiated by you against me and my correspondence pending by you.
2. In my letter addressed to you, I had specifically referred to attach the assets of Rupmanglam investment Pvt ltd.
3. I understand from the office of the Additional Commissioner of Income tax, Range 8 , that the assets of Rupmanglam Investment Pvt Ltd has been transferred to Span Medicals by way of amalgamation and now the assets have stands in the name of Span Medicals.
4. In view of my earlier letter addressed to the office of ADCIT-Range 8 in January 2003, they have ignored to take up the issue of reverse action of illegal amalagamation by taking steps against Span Medicals, soparkars, kashiparekhs ,Jalundhwala ,etc. This means that their office has connived the party in stealing the assets of the property even after their full knowledge and their by deprived my legitimate rights as well as legitimate revenue of Government of India and thereby increasing the complexities
5. I am sure that you would like to protect your self . You can do so only if you , take proactive steps as otherwise you would mess up your retirement years. One learns from wisdom of one spoiled egg in the basket spoils all the eggs in the basket. On account one crooked Handa- a great bank robber, has affected so many including the undersigned. The only thing , I am lucky enough to realize it and no one can raise a finger against me. for recovery of taxes from me.
6. In order to protect yourself as well as the interest of government of India, you need to take up the issue with the office of ADCIT, Range 8 by taking initiative today itself and advise them , that you would not have any alternative but to take steps against the ADCIT-Range 8 for permitting the stripping of assets Rupmanglam and Flovin to Span Medicals inspite of the letter from the undersigned to the ADCIT, Range 8 in January 2003.7. You shall also get in touch with the Official Liquidator of Companies situated at Jivabhai Chambers that you have reason to believe from the Suit filed by P S Mody in Civil Suit 5827/01 that Dhanyuhsya , Mr. Jalundhhwala have failed in furnishing the ownership particulars including their advocates Mr. Soparkars.
8. You shall convey to the official liquidator that this is a fishy matter and needs to be investigated thoroughly by the official liquidator getting in touch with the Supreme Court of India as well as the President of India and the Finance Minister of the country.
9. It is needless to state that , I do not have any alternative but to disclose the contents of this letter to various authorities to prevent any negligence on your part, which please note.
10. Even if the official liquidator of companies has completed all formalities of liquidating the companies, you shall advise him to take stern action against Mr. and Mrs. Soparkar who have made application on behalf of their client Span Medicals and others to amalgamate the companies so as to hide their illegalities associated in covering up the banking frauds and tax frauds.
11. The present letter is being marked to media and other investigating authorities so as to increase your vigilance and alertness . None of your bosses can save you. You need to save yourself by getting into quick sand. However, it is left to make a choice on your own.
12. You are advised to take all other appropriate measures against the bankers , that is Global Trust Bank by obtaining and attaching all the records of Dhanyuhsya Financial <>
13. It is possible that the methods employed by Mr. Soparkar may be just tip of the iceberg.
14. I hope you understand the urgency and seriousness of the matter. Please note that as per article in Economic Times , One of the chartered accountants associated with Handas has burnt his fingers on account of association with Handas.
15. I am sure that you would not like to destroy your family on account of negligence on your part especially when you would be retiring shortly. 16. Kindly acknowledge receipt of the letter and furnish detailed reply.
Thanking you .
Yours sincerely,
P S MODY
Thursday, July 15, 2004
some of the correspondence letters to the commissionerate wing of the income tax dept
VARIOUS CORRESPONDENCE TO CIT WING
LETTER TO CIT-V ON 4-6-2003
http://intad.blogspot.com/2004/06/letter-to-commissioner-of-income-tax-v.html
LETTER TO CHIEF COMMISSIONER OF INCOME TAX ON 3-9-03
http://intad.blogspot.com/2004/06/letter-to-chief-commissioner-of-income.html
LETTER TO ASSESSING OFFICER ON 17-10-03
http://intad.blogspot.com/2004/06/letter-to-assessing-officer-working.html
LETTER TO M C KATHERIA IN DECEMBER 2003
http://intad.blogspot.com/2004/06/letter-to-cit-v-mr-m-c-katheria-on-9.html
LETTER TO TAX RECOVERY OFFICER ON 29-1-04
http://intad.blogspot.com/2004/06/letter-to-tax-recovery-officer-on-29-1.html
LETTER TO COMMISSIONER OF INCOME TAX APPEALS 24-2-04
http://intad.blogspot.com/2004/06/letter-to-cit-appeals-vii-on-24-2-04.html
LETTER TO TAX RECOVERY OFFICER ON 26-3-04
http://intad.blogspot.com/2004/06/letter-addressed-to-tax-recovery.html
LETTER TO ASSISTANT COMMISSIONER OF INCOME TAX –RANGE 8
http://intad.blogspot.com/2004/06/letter-to-acit-range-8-dated-26-3-04.html
LETTER TO CIT-V ON 4-6-2003
http://intad.blogspot.com/2004/06/letter-to-commissioner-of-income-tax-v.html
LETTER TO CHIEF COMMISSIONER OF INCOME TAX ON 3-9-03
http://intad.blogspot.com/2004/06/letter-to-chief-commissioner-of-income.html
LETTER TO ASSESSING OFFICER ON 17-10-03
http://intad.blogspot.com/2004/06/letter-to-assessing-officer-working.html
LETTER TO M C KATHERIA IN DECEMBER 2003
http://intad.blogspot.com/2004/06/letter-to-cit-v-mr-m-c-katheria-on-9.html
LETTER TO TAX RECOVERY OFFICER ON 29-1-04
http://intad.blogspot.com/2004/06/letter-to-tax-recovery-officer-on-29-1.html
LETTER TO COMMISSIONER OF INCOME TAX APPEALS 24-2-04
http://intad.blogspot.com/2004/06/letter-to-cit-appeals-vii-on-24-2-04.html
LETTER TO TAX RECOVERY OFFICER ON 26-3-04
http://intad.blogspot.com/2004/06/letter-addressed-to-tax-recovery.html
LETTER TO ASSISTANT COMMISSIONER OF INCOME TAX –RANGE 8
http://intad.blogspot.com/2004/06/letter-to-acit-range-8-dated-26-3-04.html
Tuesday, June 22, 2004
RAMKRISHNANS MESSAGE 781 TO MODY 31-5-04
From: "P. Ramakrishnan"
Date: Mon May 31, 2004 3:56 pm
Subject: Re: [JAGO-INDIA] Re: Lets Fight Corruption In Judiciary- Law Ministers Interview
Dear Pankaj Mody,
If you kindly get me the e-mail address of our President, without any
hesitation, I shall send this mail to him in my name supporting your cause.
It is quite possible that your petition to the President would not have
reached him. He is a truthful warm hearted person and he is for removing the
corruption. With this in mind,t he educates the children of fomative age
with whenever he gets an opportunity.
Like me there would be many people who would take the same course of action.
I feel that a gist of the case matter will have to be included - from your
appeal 176/03 in connection with your civil suit 5827/01- in your mail as
well as the other mails to follow from others.
Regds
P.Ramakrishnan
Date: Mon May 31, 2004 3:56 pm
Subject: Re: [JAGO-INDIA] Re: Lets Fight Corruption In Judiciary- Law Ministers Interview
Dear Pankaj Mody,
If you kindly get me the e-mail address of our President, without any
hesitation, I shall send this mail to him in my name supporting your cause.
It is quite possible that your petition to the President would not have
reached him. He is a truthful warm hearted person and he is for removing the
corruption. With this in mind,t he educates the children of fomative age
with whenever he gets an opportunity.
Like me there would be many people who would take the same course of action.
I feel that a gist of the case matter will have to be included - from your
appeal 176/03 in connection with your civil suit 5827/01- in your mail as
well as the other mails to follow from others.
Regds
P.Ramakrishnan
mody message 546 to Jago on 10-4-04
From: "rupambun"
Date: Sat Apr 10, 2004 3:20 pm
Subject: PROTECTING WHISTLEBLOWERS FOR EXPOSING FRAUDS
From: P Mody
EMAIL ID: modypan4@y...
Friends,
Subject: Indian Express front page article on 6-4-04 , How to protect
Dubeys? Get back in a week with your ideas: SC tells the Solicitor
General.
http://www.indianexpress.com/full story.php?content_id=44515
1. This is in reference to above front page article in Indian
Express on 6-4-04 for protecting whistleblowers and Supreme court
inviting suggestions within a week from 5th April . Similar article
has appeared in Times of India, The Hindu. The Asian Age, The Free
Press Journal , etc..
2. I am writing this letter in view of my telegram to CJI on 7-3-
04 seeking protection and justice in view of my act of whistle
blowing to expose banking fraud as well as corruption in the income
tax department and harassment from the department for using methods
of coercion to collect taxes so as to silence me. You can view the
text of telegram vide my posting 1986 and the same came be viewed on
my site http://blogs.sify.com/mody04 .I earnestly request all of you
to have look at this site so that one can get glimpse of background
including the letter addressed to the President of India and various
articles that appeared in news papers so as to
get a proper perspective on the issues and need for urgency as well
as bias for
action.
3. I would narrate the functioning of the people in power by a
classic famous story :-
Who is accountable and responsible ?
Ø This is a story about four people named EVERYBODY, SOMEBODY,
ANYBODY and NOBODY.
Ø There was an important job to be done and EVERYBODY was sure
that SOMEBODY would do it.
Ø ANYBODY could have done it , but NOBODY did it.
Ø SOMEBODY got angry about this, because it was EVERYBODY'S
job.
Ø EVERYBODY thought could do it, but NOBODY realized that
EVERYBODY would not do it.
Ø It ended up that EVERYBODY blamed SOMEBODY when NOBODY did
what ANYBODY could have done!!!
4. Nothing is more important than taking initiative, integrity,
commitment , reliability and owning up responsibility. This is what
is expected of leaders and people holding powerful positions.
5. I do not have any means to ascertain whether my telegram and
letter has reached to the desk of the Honorable Chief Justice of
India , Shri V.N.Khare and has been read by him. When telegram was
sent one month back it has to be treated as SOS signal and also to
draw personal attention. The only conclusion I can draw is that
whistleblowers are not going to be respected and protected even by
the Supreme Court and the responsibility is going to be passed on to
others.
.
6. I feel under the circumstances that only media can draw the
attention of the CJI , that such telegram was sent and there is need
for urgent action.
7. No laws can ever be effective , unless there is true
longing to protect and provide true justice. I have experienced that
the judiciary in Gujarat High Court do not listen to the
whistleblowers even when one is trying to send the message across
directly because influential advocates shield the bank robbers and
even the advocates are protected by the Bar Councils and the
chartered accountants are are protected by the Institute of
Chartered Accountants and the large tax evaders are protected by the
Income tax department, while the senior tax officials are protected
by toothless Central Vigilance Commission and in the process ,
whistleblower like me is harassed by being subjected for police
remand facing criminal cases and the income tax department use
methods of coercion to levy taxes without giving justification and
causing disruption in personal life.
8. The way judges in Gujarat High Court passes orders is
discussed in front page article in Indian Express on 03-04-04 titled
as " Accused of fudging, Gujarat govt says don't ask till
polls"
URL: http://www.indianexpress.com/full_story.php?content_id=44324
· Salve commented that Justice of the Gujarat High Court
granted bail stating " The parties do not press for reasoned
order.
Considering the submissions made on behalf of the parties, and having
regard to the facts and circumstances of the case, the bail
application is allowed and applicants are ordered to be released on
bail."
· Any common citizen would expect reasoned orders even when it
is not pressed by the parties and would expect that the facts and
circumstances are narrated in detail by the justice so that one can
understand that the justice has comprehended and covered all the
issues instead of summarily referring "having regard to the facts
and
circumstances of the case" and the justice is expected to insist
various affidavits from the parties concerned.
· This is how the guilty ones get away and this has been my
personal experience when I appeared in the Gujarat High Court as
party in person. The justice passed summary orders Heard. No grounds
for interference is made out. Hence dismissed . The justice does not
insist for written affidavits from the defendants nor do they ask any
question nor do they narrate what they have comprehended and the
judges behave irresponsibly with a view to save great bank robbers
and the advocates who are hand in glove to bury the facts. Can any
one expect true justice and protection to whistleblowers who expose
bank frauds , tax evasion ,scandals, corruption, etc.
· There is also Indian Express editorial on Bad Counsel which
appeared on 5-4-04 which indicates seriousness. A similar editorial
on Judiciary has also appeared in Time of India too. I shall try to
put additional relevant articles on my site.
9. One is already familiar with various laws passed from time
to time by the government but its efficacy gets nullified on account
of inefficient and ineffective, blind , non receptive judiciary
to expose the large mischief makers for the reasons best known to
them.
10. There has to be intense, focused ,loud, persistent dialogue
preferably before the elections where by the people in power lose
their sleep. One can draw insight from water can evaporate only when
the temperature reaches 100degrees centigrade and as long as such
temperature is not reached , the desired results are not going to be
achieved. All of us have to become like mosquitoes constantly
buzzing their ears so that they lose sleep and their feel good factor
has to be converted into a situation so that having position of
power and authority is not going to remain a bed of roses but bed
of thorns..
11. All of us can take hint from Kal Kare So AAJ Kar, Aaj kare So
Aab, Pal Pal Avsar Jaat Hai , Fir Karego Kab? I most humbly urge all
the friends to take initiative to refer the contents of my telegram
to the CJI to various news papers so as to move and shake the
President and the judiciary . I know that I am facing grave risk
for my self and in the process of I might be consumed. . This is the
most opportune time to obtain radical transformation.
12. My special circumstances of saving my family has forced me
to take attitude and position of a man getting into the arena and
face all risks and I have given up any possibility of protection
from the Government of India including the President of India and the
Chief Justice of Supreme Court of India. As I have not received any
response from them. Only public figures enjoy the facility of
protection. This is stark reality. Even thousands of whistleblowers
like Dubeys blow a whistle and sacrifice their lives- there is no
possibility of expecting real empathy.
13. I have surrendered to God and mentally decided to accept all
the consequences. It is for this reason that I need your support
that the challenges and my fight reaches the corridors of power. None
of you would get bruised. It is I who would get bruised , if at all.
So that once and for all fixing of the accountability and
responsibility issue of protecting the other whistleblowers get
finalized while even the connected bureaucrats, advocates and
members of judiciary do not get spared. It is possible that the Chief
Justice of Supreme Court and the President of India are genuinely
concerned but as they do not have personal live experience that they
do not understand how to tackle the issue. I am willing to share my
experiences for formulating a proper strategy for protecting
whistleblowers. The only snag is that I can do it in Ahmedabad and
not In Delhi because I do not have financial resources left even to
fight my own case.
14. May I urge you all friends , that as the Supreme court has
called for ways and means of protecting the whistleblowers in a
week from April 5th , the exposure of telegram sent by me requires
your urgent action. I feel that exposing the contents of my telegram
to CJI on 7-3-04 in media in context of the story narrated above ,
one needs to review whether the judiciary really wants to protect the
lives of Whistleblowers and expose the guilty I have given up any
expectation from the government to protect the lives of whistleblower
like me but I would like to play a effective role so that other
whistleblowers do not get scared of blowing a whistle . Transparency
is my only safety so that I do not get strangulated my people in
power. I have already had taste of five day police remand as well as
means of coercion used by the income tax department to recover taxes
from my family without proper explanation and as to how the
judiciary functions for people who do not have resources to fight the
giant bank robbers . The best thing is to embrace vulnerability out
in open. All I need is your active support to blow a whistle to
media by writing to all the news papers such as Indian Express,
Times of India, Free Press Journal, The Asian Age, The Hindu where
the above referred article for protecting whistleblowers have come. I
feel that no law would be effective unless the judiciary , the
President Of India, the Finance Ministry, The members of Parliament ,
Central Vigilance Commission are made accountable and responsible
too. Please refer my site http://blogs.sify.com/mody04. I would
continue placing connected information. Please offer your comments.
15. Gibran has presented wisdom in The Prophet commenting on
Laws. He says, You delight laying down laws, Yet you delight more in
breaking them. Like children playing the ocean who build sand towers
with constancy and then destroy them. with laughter …."
16. As a concluding remark, for making the people in power
accountable and responsible refer this matter as well as story to
media as well as the President of India so as to create deep impact
to change the way the bureaucracy functions. This is just a live
example.
Thanking you.
Yours sincerely,
P Mody
Dated 10-4-04.Place: ahmedabad
Date: Sat Apr 10, 2004 3:20 pm
Subject: PROTECTING WHISTLEBLOWERS FOR EXPOSING FRAUDS
From: P Mody
EMAIL ID: modypan4@y...
Friends,
Subject: Indian Express front page article on 6-4-04 , How to protect
Dubeys? Get back in a week with your ideas: SC tells the Solicitor
General.
http://www.indianexpress.com/full story.php?content_id=44515
1. This is in reference to above front page article in Indian
Express on 6-4-04 for protecting whistleblowers and Supreme court
inviting suggestions within a week from 5th April . Similar article
has appeared in Times of India, The Hindu. The Asian Age, The Free
Press Journal , etc..
2. I am writing this letter in view of my telegram to CJI on 7-3-
04 seeking protection and justice in view of my act of whistle
blowing to expose banking fraud as well as corruption in the income
tax department and harassment from the department for using methods
of coercion to collect taxes so as to silence me. You can view the
text of telegram vide my posting 1986 and the same came be viewed on
my site http://blogs.sify.com/mody04 .I earnestly request all of you
to have look at this site so that one can get glimpse of background
including the letter addressed to the President of India and various
articles that appeared in news papers so as to
get a proper perspective on the issues and need for urgency as well
as bias for
action.
3. I would narrate the functioning of the people in power by a
classic famous story :-
Who is accountable and responsible ?
Ø This is a story about four people named EVERYBODY, SOMEBODY,
ANYBODY and NOBODY.
Ø There was an important job to be done and EVERYBODY was sure
that SOMEBODY would do it.
Ø ANYBODY could have done it , but NOBODY did it.
Ø SOMEBODY got angry about this, because it was EVERYBODY'S
job.
Ø EVERYBODY thought could do it, but NOBODY realized that
EVERYBODY would not do it.
Ø It ended up that EVERYBODY blamed SOMEBODY when NOBODY did
what ANYBODY could have done!!!
4. Nothing is more important than taking initiative, integrity,
commitment , reliability and owning up responsibility. This is what
is expected of leaders and people holding powerful positions.
5. I do not have any means to ascertain whether my telegram and
letter has reached to the desk of the Honorable Chief Justice of
India , Shri V.N.Khare and has been read by him. When telegram was
sent one month back it has to be treated as SOS signal and also to
draw personal attention. The only conclusion I can draw is that
whistleblowers are not going to be respected and protected even by
the Supreme Court and the responsibility is going to be passed on to
others.
.
6. I feel under the circumstances that only media can draw the
attention of the CJI , that such telegram was sent and there is need
for urgent action.
7. No laws can ever be effective , unless there is true
longing to protect and provide true justice. I have experienced that
the judiciary in Gujarat High Court do not listen to the
whistleblowers even when one is trying to send the message across
directly because influential advocates shield the bank robbers and
even the advocates are protected by the Bar Councils and the
chartered accountants are are protected by the Institute of
Chartered Accountants and the large tax evaders are protected by the
Income tax department, while the senior tax officials are protected
by toothless Central Vigilance Commission and in the process ,
whistleblower like me is harassed by being subjected for police
remand facing criminal cases and the income tax department use
methods of coercion to levy taxes without giving justification and
causing disruption in personal life.
8. The way judges in Gujarat High Court passes orders is
discussed in front page article in Indian Express on 03-04-04 titled
as " Accused of fudging, Gujarat govt says don't ask till
polls"
URL: http://www.indianexpress.com/full_story.php?content_id=44324
· Salve commented that Justice of the Gujarat High Court
granted bail stating " The parties do not press for reasoned
order.
Considering the submissions made on behalf of the parties, and having
regard to the facts and circumstances of the case, the bail
application is allowed and applicants are ordered to be released on
bail."
· Any common citizen would expect reasoned orders even when it
is not pressed by the parties and would expect that the facts and
circumstances are narrated in detail by the justice so that one can
understand that the justice has comprehended and covered all the
issues instead of summarily referring "having regard to the facts
and
circumstances of the case" and the justice is expected to insist
various affidavits from the parties concerned.
· This is how the guilty ones get away and this has been my
personal experience when I appeared in the Gujarat High Court as
party in person. The justice passed summary orders Heard. No grounds
for interference is made out. Hence dismissed . The justice does not
insist for written affidavits from the defendants nor do they ask any
question nor do they narrate what they have comprehended and the
judges behave irresponsibly with a view to save great bank robbers
and the advocates who are hand in glove to bury the facts. Can any
one expect true justice and protection to whistleblowers who expose
bank frauds , tax evasion ,scandals, corruption, etc.
· There is also Indian Express editorial on Bad Counsel which
appeared on 5-4-04 which indicates seriousness. A similar editorial
on Judiciary has also appeared in Time of India too. I shall try to
put additional relevant articles on my site.
9. One is already familiar with various laws passed from time
to time by the government but its efficacy gets nullified on account
of inefficient and ineffective, blind , non receptive judiciary
to expose the large mischief makers for the reasons best known to
them.
10. There has to be intense, focused ,loud, persistent dialogue
preferably before the elections where by the people in power lose
their sleep. One can draw insight from water can evaporate only when
the temperature reaches 100degrees centigrade and as long as such
temperature is not reached , the desired results are not going to be
achieved. All of us have to become like mosquitoes constantly
buzzing their ears so that they lose sleep and their feel good factor
has to be converted into a situation so that having position of
power and authority is not going to remain a bed of roses but bed
of thorns..
11. All of us can take hint from Kal Kare So AAJ Kar, Aaj kare So
Aab, Pal Pal Avsar Jaat Hai , Fir Karego Kab? I most humbly urge all
the friends to take initiative to refer the contents of my telegram
to the CJI to various news papers so as to move and shake the
President and the judiciary . I know that I am facing grave risk
for my self and in the process of I might be consumed. . This is the
most opportune time to obtain radical transformation.
12. My special circumstances of saving my family has forced me
to take attitude and position of a man getting into the arena and
face all risks and I have given up any possibility of protection
from the Government of India including the President of India and the
Chief Justice of Supreme Court of India. As I have not received any
response from them. Only public figures enjoy the facility of
protection. This is stark reality. Even thousands of whistleblowers
like Dubeys blow a whistle and sacrifice their lives- there is no
possibility of expecting real empathy.
13. I have surrendered to God and mentally decided to accept all
the consequences. It is for this reason that I need your support
that the challenges and my fight reaches the corridors of power. None
of you would get bruised. It is I who would get bruised , if at all.
So that once and for all fixing of the accountability and
responsibility issue of protecting the other whistleblowers get
finalized while even the connected bureaucrats, advocates and
members of judiciary do not get spared. It is possible that the Chief
Justice of Supreme Court and the President of India are genuinely
concerned but as they do not have personal live experience that they
do not understand how to tackle the issue. I am willing to share my
experiences for formulating a proper strategy for protecting
whistleblowers. The only snag is that I can do it in Ahmedabad and
not In Delhi because I do not have financial resources left even to
fight my own case.
14. May I urge you all friends , that as the Supreme court has
called for ways and means of protecting the whistleblowers in a
week from April 5th , the exposure of telegram sent by me requires
your urgent action. I feel that exposing the contents of my telegram
to CJI on 7-3-04 in media in context of the story narrated above ,
one needs to review whether the judiciary really wants to protect the
lives of Whistleblowers and expose the guilty I have given up any
expectation from the government to protect the lives of whistleblower
like me but I would like to play a effective role so that other
whistleblowers do not get scared of blowing a whistle . Transparency
is my only safety so that I do not get strangulated my people in
power. I have already had taste of five day police remand as well as
means of coercion used by the income tax department to recover taxes
from my family without proper explanation and as to how the
judiciary functions for people who do not have resources to fight the
giant bank robbers . The best thing is to embrace vulnerability out
in open. All I need is your active support to blow a whistle to
media by writing to all the news papers such as Indian Express,
Times of India, Free Press Journal, The Asian Age, The Hindu where
the above referred article for protecting whistleblowers have come. I
feel that no law would be effective unless the judiciary , the
President Of India, the Finance Ministry, The members of Parliament ,
Central Vigilance Commission are made accountable and responsible
too. Please refer my site http://blogs.sify.com/mody04. I would
continue placing connected information. Please offer your comments.
15. Gibran has presented wisdom in The Prophet commenting on
Laws. He says, You delight laying down laws, Yet you delight more in
breaking them. Like children playing the ocean who build sand towers
with constancy and then destroy them. with laughter …."
16. As a concluding remark, for making the people in power
accountable and responsible refer this matter as well as story to
media as well as the President of India so as to create deep impact
to change the way the bureaucracy functions. This is just a live
example.
Thanking you.
Yours sincerely,
P Mody
Dated 10-4-04.Place: ahmedabad
