Income-Tax department has initiated inquiry against 57 members of the Adarsh Housing Society, including relatives of former Maharashtra chief minister Ashok Chavan, regarding their source of funds through which flats were purchased in the scam tainted building in south Mumbai.
Stating that its investigations are complete, Income Tax informed the Bombay High Court that inquiry has been initiated in 57 cases and notices have been issued to those persons.
"Out of 103 members, in 57 cases proceedings under section 142 (1) (inquiry before assessment), 143(2) and 148 (issue of notice where income has escaped assessment) of the Income Tax Act have been initiated," Deputy Director (IT) Jaya Choudhary stated in an affidavit.
The cases in which inquiry and notice have been issued are Jagdish Sharma and Madanlal Sharma (relatives of Chavan), Onkar Tiwari (son of Ramanand Tiwari, then secretary of Urban Development Department), Kanishka Phatak (son of former municipal commissioner Jairaj Phatak), MLA Jitendra Awhad, Satyasandh Barve (father of senior IPS officer Sanjay Barve), Kanhaiyalal Gidwani, IAS officer Seema Vyas (wife of former Mumbai collector Pradeep Vyas) and former deputy secretary P V Deshmukh.
Choudhary filed the affidavit in reply to a public interest litigation filed by social worker Pravin Wategaonkar seeking to invoke Prevention of Money Laundering Act (PMLA) in the Adarsh scam.
The affidavit filed last week further states that investigations into the source of funds of all the 103 members are complete and that the details of investments of each assessee have been forwarded to the concerned Commissioners of IT to verify the source and unexplained investments.
"In six cases, no action has been taken since the investigations proved that source of funds and investments in flats were explained satisfactorily," the affidavit said.