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National Herald Case: Delhi High Court rejects Sonia and Rahul Gandhi’s plea in Income Tax case

In a massive blow to the Congress, the Delhi High Court on Monday rejected Congress President Rahul Gandhi and Sonia Gandhi’s plea challenging the Income Tax notice seeking tax reassessment for the financial year 2011-2012 in connection with the National Herald Case. The petition regarding the same, filed by senior Congress leader Oscar Fernandes, has also been rejected by the court.

The court also clarified that the tax department reserves the right to reopen any tax proceedings and that the petitioners can approach the income tax department with their particular grievances.

Earlier last month, Rahul Gandhi had appeared in the Delhi High Court and challenged after the I-T department accused him of concealing his income in the years 2011-2012. According to the department Rahul’s case was considered to be reopened as he did not disclose that he was a director in the company- Young Indian Pvt Ltd (YI) since 2010.

His lawyers, however, asserted that Rahul did not receive any income from the source, hence he is not liable for any tax.

The same day, Sonia Gandhi and Oscar Fernandes, too, had moved the Delhi High Court, challenging the reopening of their assessments by the Income-Tax regarding the Young Indian- National Herald transactions.

The ‘tax file’ had then revealed that Rahul Gandhi had hidden from the Income-Tax department that he was a Director in Young India, which is the main company involved in the ‘National Herald case’.  Since he had allegedly hidden the facts from the I-T department, a whopping amount of Rs 154.97 crore couldn’t be assessed by them. The tax file also revealed that along with being the Director, he was also the direct beneficiary of the funds directed at ‘Young India’.

However, at that point in time, to block the reassessment, Rahul Gandhi had challenged the notice in the Delhi High Court, which has been now duly rejected by the same.

As the investigation proceeds, and the conditions take unexpected turns, the Gandhi’s seem to be getting jittery. Earlier too, we had covered how the Gandhis’ had tried to thwart the Income Tax’ investigation into the National Herald case. Congress had also earlier reportedly threatened tax officials with legal consequences for asking “irrelevant questions” during their investigations.

Now that the Delhi High Court rejects Congress President Rahul Gandhi and mother Sonia Gandhi’s plea challenging the Income Tax notice almost closing all escape doors, one is left to wonder what would be the possible next step taken by the Congress bigwigs in their own defence.

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Staff reporter at OpIndia

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