Govt tells Reliance energy to pay Rs 129 crore tax | business | Hindustan Times
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Govt tells Reliance energy to pay Rs 129 crore tax

business Updated: Mar 03, 2012 00:32 IST

Reversing an earlier order of granting tax exemption to the tune of Rs 129 crore to Anil Ambani-led group company Reliance Energy, Delhi government has told the company to pay up the amount levied on it as sales tax.

The government has conveyed this to Delhi Lokayukta Justice Manmohan Sarin who was looking into a whistleblower's complaint alleging a R129-crore scam involving tax liability against the company.

Following the government's stand, the Lokayukta today decided to close its probe into the complaint.

As per the Lokayukta order, Department of Trade and Tax has initiated "recovery proceedings" against Reliance Infrastructure Ltd, formerly Reliance Energy Ltd.

"In view of the setting aside of the order dated November 25, 2008, and restoration of the Assessment Order dated March 30, 2006, there is no ground left for inquiring into the allegation of causing loss of R129 crore to the state exchequer," the order said.

Reliance Energy refused to comment on the issue. The Lokayukta had issued notices to the government last year after admitting the complaint by the anonymous whistleblower.