HC restrains IT dept from proceeding further on re-assessment of Maran's income

The Madras High Court Friday restrained the Income Tax department till October 22 from proceeding further on the re-assessment of former Union minister Dayanidhi Maran's income for 2008-09 and 2009-10, based on the CBI chargesheet in the Aircel-Maxis deal case.

A division bench of justices G Huluvadi Ramesh and K Kalyana Sundaram gave the oral direction when an appeal filed by Maran, challenging the October 10 order of a single judge dismissing his petition filed against the I-T action, came up for hearing.

It then posted the appeal for a further hearing to October 22.

In his order, Justice S M Subramaniam had said the petitioner, who held the high position of a Union minister, was duty bound to respond to the department's notice to prove his innocence or otherwise.

The Central Bureau of Investigation (CBI) has charged Maran with forcing Aircel owner C Sivasankaran into parting with his stake in the company in favour of Malaysia's Maxis Communications Berhad when he was the telecom minister.

Maran had pointed to his discharge in the case by a CBI court in New Delhi on February 2 last year in support of his plea for quashing the I-T notice.

Dismissing Maran's plea, the judge had said the petition was filed at the notice stage itself, which would hamper all further proceedings of the I-T department and it could never be encouraged by the court.

(With inputs from agencies.)