Prosecute corrupt tax dept officials: Madras HC

CHENNAI: The Madras High Court has directed the Commercial Tax Department to prosecute its corrupt officials through Department of Vigilance and Anti Corruption (DVAC) for causing revenue loss to the State. The court also ordered verification of assets owned by them and their relatives. The court passed the order while pointing out the failure on part of the department to collect tax dues pending since 2006.

“If misconduct or otherwise is proved, then further actions are to be initiated to recover the loss of State revenue from those officials,” Justice S M Subramaniyam said in a July 20 order. The court passed the directions while allowing a writ petition from GE Govindaraj, who sought to quash a notice dated October 4, 2012 of the Assistant Commissioner in Arisipalayam Assessment Circle in Salem district. The notice sought to recover sales tax arrears for 2000-01 and 2001-02.

The judge noted that the authority had initiated action to recover the arrears after a lapse of 10 years, which was against TNGST Rules. The two authorities shall coordinate with DVAC by conducting frequent surprise raids to control the evil menace of corrupt activities of demand and acceptance of bribes or receipt of freebies from the business community across the State.

“If any such offences are identified then all actions, including criminal action, are to be initiated,” said the judge. The judge also directed them to issue suitable orders to all the authorities competent to verify the service records of the officials of the Commercial Tax Department and make a comparison with the actual assets of the family members as well as the declared assets in the service records and if any disproportionality of wealth is identified, all suitable actions are to be initiated under the Service Rules in force.

“They shall ensure that all long-pending cases regarding State revenue are reviewed periodically on a war footing and reports are collected and initiate speedy steps to protect the interest of State revenue, as it is the constitutional mandate and to protect the interest of the public at large,” said the bench.