As VK Sasikala is over halfway through the completion of her four-year jail term in the Disproportionate Assets case, the Income Tax Department has attached assets belonging to Sasikala worth Rs 1,600 crore, under the Benami Transactions (Prohibition) Act, 1988.
The properties were allegedly purchased just after demonetisation in November 2016, using demonetised notes, by Sasikala in the name of benamis.
So how did the Income Tax department zero in on these properties, and what are the charges against the jailed aide of former Tamil Nadu Chief Minister Jayalalithaa? Here’s a quick look:
1. Remember demonetisation? According to Income Tax department sources quoted in reports, Sasikala allegedly decided to buy lots of property in Tamil Nadu using the demonetised Rs 500 and Rs 1,000 notes, immediately after the move was announced by Prime Minister Narendra Modi. I-T has attached nine properties in total, adding up to Rs 1,600 crore.
2. The details about these assets were reportedly obtained by the I-T department during a massive raid on her property in November 2017. ‘Operation Clean Money’ was the name of the simultaneous raids conducted in over 37 locations, in VK Sasikala’s properties. The residence of former Chief Minister J Jayalalithaa in Poes Garden, Chennai, was also searched during the operation. Around 1,800 officials were deployed for the searches and incriminating documents unearthed during those raids turned out to contain details about the attached assets.
3. According to reports, MoUs were signed between Sasikala and the benamis – and the I-T department has accessed these MoUs.
4. The assets attached are located in Chennai, Coimbatore and Puducherry. The properties includes a mall in Chennai, a resort in Puducherry and a paper mill in Coimbatore.
5. Sasikala has a chance to present her side within 90 days. The Income Tax department has attached the properties provisionally, for 90 days, under section 24(3) of the Benami Transactions (Prohibition) Act, 1988. In these 90 days, the Initiating Officer gives time for the “beneficial owner” (In this case Sasikala) and the benami (on whose name the property has been acquired) to present their case. At the end of 90 days, the Initiating Officer has to confirm or vacate the attachment. If the IO confirms the attachment, the case goes to the next stage of adjudication.