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BJP steps up pressure on Centre over Vibrant MoUs probe

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BS Reporter New Delhi
Last Updated : Jan 20 2013 | 8:04 PM IST

FM may give statement on Thursday

Under pressure from the BJP, Finance Minister Pranab Mukherjee may give a suo moto statement over the Income Tax probe on the MoUs of the Vibrant Gujarat show.

While an agitated BJP wanted an immediate reply from the government after they raised the issue today in the Rajya Sabha, the government has offered a clarification on Thursday by the Finance Minister if the opposition wishes so.

As soon as the House commenced for the day, Leader of the Opposition Arun Jaitley raised the issue and termed the IT notice as discriminatory.

On 17 February, the Directorate of Income-Tax had issued an order to the Government of Gujarat seeking details from the State Government of all MOUs entered by the State and all private entrepreneurs, whether domestic or foreign, who came and attended the Vibrant Gujarat Show.

“This is a huge assault on federalism in India. There is no greater abuse”, said Jaitley as JD(U) member N K Singh supported him and sought to know, “Under which law has it been ordered?”

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Indicating it is a political conspiracy, Jaitley said “Here is a state which is economically doing well.

The State has institutionalized a system of attracting investment through this annual meet. On the eve of this annual Investors’ Meet, you first have the political party in opposition making a public statement that the Finance Ministry must use the Income Tax Department in order to find out that whoever enters into a MoU with the State Government will be enquired into by the Income Tax Department.”

Later, at a meeting with the opposition parties at the Chairman’s chamber, the government tried to counter that the IT probe is not against the government of Gujarat but a routine check on the corporate sector.

Tension mounted between the two sides as Finance Minister Pranab Mukherjee was away from Delhi and couldn’t respond on the issue.

While Parliamentary Affairs Minister Pawan Kumar Bansal tried to respond on behalf of the party, the opposition rejected the offer and demanded an immediate withdrawal of the IT letter.

In a bid to garner support, Jaitley added that every Opposition-ruled State Government in this country has been complaining of discrimination of this kind.

“Earlier in this House, I had referred to what is happening in Orissa, what is happening in U.P. These are not Governments controlled by my party; they are controlled by parties which we do not agree with. The West Bengal Government is objecting how the Centre is discriminating against them,” Jaitley said.

Jaitley also slammed the government on the ground that when big and reputed international corporations are bringing investment worth Rs 20.53 lakh crores “you (the government) let loose the Income Tax Department against those who want to invest in the State.

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First Published: Mar 17 2011 | 12:55 AM IST

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