CBI registered a case on 9.5.2002 against Madan Lal, Commissioner of Income Tax, Karnal, Haryana for demanding bribe of Rs.One lakh from Shri Rajesh Behal of Karnal for doing a favour in the matter of income tax assessment of a private firm M/s Mortein Finlease Private Limited, which was represented by Shri Behal. CBI laid a successful trap and Shri Madan Lal was caught red-handed. After investigation of the case, CBI filed a charge sheet in the court of Special Judge, Ambala on 22.8.2003.

The Special Judge, Ambala convicted Shri Madan Lal and sentenced him to one year rigourous imprisonment and fine of Rs.2 ,000/- u/s 7 of the PC Act, 1988 and awarded one year rigorous imprisonment and fine of Rs.3,000/- u/s 13(1)(d) r/w 13(1)(2) of PC Act, 1988