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The Tax Department of Delhi government on Monday slapped a notice,demanding a fine of Rs 50 crore on a private resort in a tax evasion case in which the city Lokayukta had recommended sacking of PWD Minister Raj Kumar Chauhan for trying to hide the evasion.
Top officials said the notice had been served on Tivoli Garden Resort hotel asking it to pay the amount in the tax evasion case,which has been pursued by the Value Added Tax Department of the government for the past 10 months.
“They have been served a demand notice of Rs 50 crore on Monday,” said a top Tax department official.
The notice has been slapped for evading tax by the resort from the year 2006 to 2010.
When contacted,a Tivoli Garden official said they have not received any notice from the government.
In an unprecedented order,the Delhi Lokayukta last month had recommended sacking of Chauhan from Delhi Cabinet for trying to protect the resort in the tax evasion case,holding him guilty of “misconduct of grave nature.”
In the order,Lokayukta Justice Manmohan Sarin recommended to President Pratibha Patil to “withdraw her pleasure” for the minister to continue in office as he “misused” his official position.
Justice Sarin’s order came in a case pertaining to Chauhan’s alleged involvement in influencing a team of tax officials when they were carrying out a survey at the premises of the resort in south Delhi in February last year.
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