Practically 21 years after the scam-accused inventory dealer Harshad Mehta died of a coronary heart assault in jail, his spouse, Jyoti, has claimed he died of medical negligence as jail authorities denied him therapy for almost 4 hours. She additionally acknowledged that her household has been harassed by the revenue tax division and custodian for almost three many years regardless of profitable greater than 1,200 giant instances filed towards them in varied judicial boards. Mehta was accused of financial institution fraud in 1992. .
His household not too long ago launched an internet site in his title, https://www.harshadmehta.in/, the place his spouse wrote: “After Harshad’s demise and struggling 3 rounds of unlawful assessments now we have already gained greater than 1200 giant instances and introduced down the unlawful calls for from Rs.30,000 Crores to Rs.4000 Crores and additionally secured refunds to the Custodian of Rs. 814.33 Crores and additional refunds of about Rs.5,500 Crores are already overdue and never being made by the IT division.”
She additional claimed that when the remaining appeals are heard the claims of income would fall to about ₹200 crore and this could entail additional refunds. “Thus, now we have thwarted the plan of the I.T. division and Custodian to usurp Rs.3,285.46 Crores launched to them by fully paralyzing our group and hurting our potential to defend ourselves although at one level after Harshad’s demise this plan had already succeeded. Within the course of irreparable lack of Rs.20,677.28 Crores is already suffered by us,” she wrote.
Stating that her household confronted difficulties attributable to antagonistic media experiences, the seizure of its financial institution accounts, the suspension of its three brokerage companies in the midst of Could 1992, and experiences of a probable CBI investigation towards Harshad, she wrote, “we determined to purchase peace with the division and on 02.06.1992 made a declaration of revenue u/s 132(4) of the IT Act of Rs.100 Crores duly clarifying that no incomes have been earned exterior of books of accounts and this declaration was a highest-ever declaration of revenue until that date. The IT division was extraordinarily pleased with this declaration because it was reportedly increased than their provisional assessments of our revenue. We made the above declaration despite the fact that our enterprise had come to an entire halt attributable to all of the above unexpected occasions.”
“Inside 4 days on 6/6/1992, the Authorities promulgated by the use of an Ordinance Torts Act and u/s 11(2)(a) of this Act the IT division was given a precedence for restoration of its dues over the banks and different collectors. It’s then that the IT division deliberate to take full benefit of the precedence accorded to it and take away all of the hooked up monies and belongings mendacity within the fingers of Custodian fully unmindful of the truth that the identical would defeat the objects of the Torts Act which was led to as a Particular Statute to guard the curiosity of banks. From 1993 onwards, the division began making high-pitched assessments and pressed for the discharge of monies towards these calls for. The Hon’ble Particular Courtroom seen this conduct of the division and made sturdy observations towards it in its order dated 02.07.1993 in MA 107 of 1993 criticizing it.
“Regardless of the antagonistic observations and as an alternative of constructing amends the IT division acted with vengeance and between 1993 to 1996 assessed abnormally excessive incomes in case of all Mehtas which on the face of it couldn’t have been earned by any one among us because the incomes have been assessed greater than 100 to 300 instances of the particular taxable incomes. I’m happy to surround charts giving the particulars of revenue assessed for six years for people and 5 years for corporations. In assist of my allegations concerning the falsity of the assessments I’m additionally happy to surround just a few charts as samples whereby the Appellate Authorities have deleted the false additions upto 99%. It may be seen that towards the declaration of revenue of Rs.100 Crores based mostly on the identical seized materials and data the division assessed incomes of Rs.5604.92 Crores within the case of 9 people and Rs.556.80 Crores in case of the company entities. So as to decide our true asset and legal responsibility image the Hon’ble Particular Courtroom in 1993 additionally appointed 3 reputed companies of Chartered Accountants to attract our books of accounts and audit them for the essential interval between 1990 and 1993 and had empowered these Chartered Accountants to confirm each transaction with the third events. The books of accounts have been drawn by us and positioned earlier than these Chartered Accountants who totally verified them. In assist of my allegations I’m happy to surround a chart which supplies a comparability between the incomes disclosed within the books of accounts and the incomes assessed by the IT division for Evaluation Years 1992-93 and 1993-94 to indicate how patently unlawful the assessments have been framed by the division. The Custodian by his unlawful conduct has already achieved his mala fide objects of persecuting us and ensured the continuance of his workplace for previous 30 years.
“Thereafter once we secured reliefs from Hon’ble CIT(Appeals) and Hon’ble Earnings Tax Appellate Tribunal (ITAT) by greater than 1200 orders, the profit beneath them have been fully denied to us by the division by a number of unlawful and high-handed strategies a lot in order that for 12 years the 90 orders handed by Hon’ble ITAT directing the AO to evaluate our incomes based mostly on our books of accounts and after giving us a correct alternative, the identical weren’t complied with.
“To avoid wasting our residential premises ordered to be bought for the third time we positioned the above details earlier than Hon’ble Supreme Courtroom who was happy to intervene and go orders on 02.05.2017 and 08.05.2017 in Civil Enchantment 6326 of 2010 directing the tax authorities to adjust to the above 90 orders in 12 weeks however even the orders of Hon’ble Supreme Courtroom haven’t been complied with by the division for previous 5 years. In a few of our largest instances, we made a grievance earlier than Hon’ble ITAT who have been happy to listen to our appeals and grant us reliefs beneath a mixed order dated 14.01.2019, the particulars of that are offered in a abstract chart along with 4 enclosed charts. The above landmark order settled lengthy pending disputes and sharply rotated our state of affairs. The Hon’ble ITAT is a final truth discovering physique and the above reliefs got here to be granted as a result of the additions have been patently unlawful, high-pitched and never backed by any materials and largest additions have been deleted in compliance with the regulation laid down by Hon’ble Supreme Courtroom within the case of DCIT Vs SBI reported as (2009) 2 SCC 451. The 2 largest evaluation orders in case of Harshad and Ashwin for AY 1992-93 have already been quashed since they have been illegally framed.
“That regardless of above, the Hon’ble Particular Courtroom by an order dated 25.02.2011 handed in Report 9 of 2010 directed to make fee to the IT division of Rs.1995.67 Crores and Rs.225 Crores to banks and additional directed to switch giant quantities of Rs.1808.27 Crores mendacity within the accounts of Mehtas to the account of Harshad to fulfill claims towards him and particulars of quantity transferred are enclosed.
“…in gross violation of above the Custodian, IT division and banks performing in collusion with one another have canvassed that each one Mehtas ought to be handled as ‘one entity’ as “Harshad Mehta Group” and belongings of all of the entities ought to be used to discharge the liabilities of Harshad and on this method greater than Rs.3000 Crores are already transferred from the accounts of Mehtas to the account of Harshad and thereafter used to make funds to the IT division and the banks. The Custodian and the Hon’ble Particular Courtroom have bought our blue-chip shares at throw-away costs inflicting enormous losses to us which can’t be recouped now even when monies are refunded by the IT division and banks.”
Claims associated to Mehta’s dying
On Mehta’s dying in jail in 2001, following a coronary heart assault, his spouse wrote: “Jail authorities uncared for his real criticism for 4 hours after he suffered the primary coronary heart assault at round 7 p.m. He instantly reported the weird ache to his youthful brother Sudhir who was within the subsequent cell from the place he might hear Harshad however couldn’t see him. The jail Docs noticed him however didn’t have any drugs for a coronary heart assault. Harshad, subsequently, requested them to provide him Sorbitrate, which saved him alive for about 4 hours. Sadly, thereafter the jail authorities didn’t use that golden time of 4 hours to shift him to a hospital which might have saved his life.
“At 11 p.m., he was made to stroll for a protracted distance to the Thane hospital the place he instantly succumbed in a wheelchair after his cardiogram confirmed a large second coronary heart assault. We have been later instructed that an inquiry was ordered by the authorities and even a autopsy was carried out however neither this Inquiry Report nor the autopsy Report was offered to us regardless of our repeated requests.
“In these 20 years, our household has noticed silence and fully stayed away from the media by not making a single assertion on any difficulty touching our lives and the large litigation that has received thrusted upon us since then and likewise about our continued sufferings and group punishment being meted out to us by the authorities solely as a result of we’re associated to Harshad despite the fact that now we have not violated any regulation of the land. The proximate trigger seems to us to be the revelations Harshad was compelled to make within the 12 months 1993 about his assembly with the then Hon’ble Prime Minister, Shri Narasimha Rao on 04.11.1991 which fateful day modified our lives ceaselessly. In actual fact, since 04.06.1992 Harshad withstood the extraordinary strain of investigation and questioning however by no means made any disclosure about the truth that he was summoned for a gathering by the Hon’ble Prime Minister on 04.11.1991 till June 1993 when the primary Press Convention was organized as a result of dragging of Harshad by quite a few businesses making baseless allegations on him with which he was simply not involved as he was being framed in a number of instances.”
On the continuing instances
“The belongings of each member of the family and company entities promoted by us (Mehtas) have been introduced beneath attachment now since previous 30 years when the Custodian appointed beneath Part 3(2) of Particular Courtroom (Trial of Offences Regarding Transactions in Securities) Act, 1992 (Torts Act) a draconian statute, notified us by Gazette and hooked up our belongings on 8.6.1992. This attachment roped in belongings of a number of relations and company entities who weren’t involved in any respect and there was a transparent discrimination by the Custodian who has not adopted the uniform coverage as he has not notified relations and company entities whereas notifying a number of different individuals.
“We really feel aggrieved that our elementary and different useful constitutional and human rights have been suspended and grossly violated for the previous 30 years and our household is being meted out with a gaggle punishment despite the fact that now we have not undertaken a single transaction in securities with the banks nor any banks have lodged any claims on us,” she stated
“…there is no such thing as a allegation made for violation of any regulation of the land and despite the fact that the Torts Act doesn’t present for or assist such a therapy to harmless individuals however now we have been marked and discriminated towards and singled out by the political dispensation of that point. The Custodian has until date additionally not established any nexus or stream of any tainted monies to us as required in regulation and CBI even after combing by each transaction undertaken by Harshad and learning the stream of monies beneath these transactions has but not cited any one among us as accused besides the 2 youthful brothers of Harshad.
“Since Harshad was vilified by trial by media and which continues even until date to confer with him as a “scamster” despite the fact that he was not proved responsible of allegations made towards him and subsequently I’m constrained and compelled to atleast posthumously defend him for the reason that subsequent details and occasions fully vindicates him of what he had acknowledged and conclusively demolishes baseless allegations made towards him by some vested pursuits.
“For the reason that media, film and the online collection has saved him alive, I contemplate it to be my responsibility to defend him posthumously since all of the details have emerged and already received established, found, proved and turn out to be unimpeachable and most of that are within the type of orders handed by Hon’ble Courts and Tribunals,” she posted.
Revealed on
July 07, 2022
