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CBI seeks service tax details from MC
June, 03rd 2014

The CBI team, probing the allegation of huge financial embezzlement with the controversial allotment of 86 public toilets to Selvel Media Private Limited Company by the civic body, has once again raised questions over the role of the public health wing of municipal corporation's (MC) engineering department by seeking payment details of the service tax paid to the central government.

In a letter to the public health wing of MC's engineering department last week, Joint MC Commissioner Rajiv Kumar Gupta has asked it to provide all the detail related to the service tax amount a?? such as who all paid the service tax, how much service tax amount was paid, and the specific period of the payment of tax and so on.

Sources in the MC revealed that already facing a huge criticism for its alleged financial fraud in the public toilets' allotment case, this recent internal scrutiny has once again brought MC's public health wing under scanner with regards to service tax. "It has been revealed that Selvel Media, which was supposed to pay service tax, didn't pay a single penny. Instead, it was the public health wing of MC's engineering department that paid the money a?? which amounting to lakhs a?? by diverting other funds. It is not only shocking, but a matter of grave concern. Therefore, after probing the matter internally, now details are being sought from the public health wing in writing so that all the anomalies and glitches are revealed," said an official of the MC, pleading anonymity.

For a detailed probe, the CBI has written to both UT and MC officials to provide details regarding the case.

Prime suspects

Three senior officers a?? two former and one serving a?? are under the CBI's radar and the premier investigation agency has already registered preliminary enquiry (PE) against them. Municipal corporation officials named in the PE include then chief engineer S K Bansal, Superintending Engineer (public health division) Sita Ram Aggarwal and Executive Engineer (public health) R C Diwan who is at present SE in MC's engineering wing.

 
 
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