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September 24, 1998

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Showcause notice issued to ED, CBDT on Zee TV's petition

The Delhi high court has issued showcause notices to Enforcement Directorate chief M K Bezbaruah, chairman of the Central Board of Direct Taxes and Delhi Police Commissioner V N Singh on a petition filed by the owners of Zee TV seeking time-bound completion of the investigation into alleged financial irregularities.

A complaint was filed by sitting members of Parliament -- Hiphei, Balbir Singh and Virendra Kataria -- with the ED on January 7 alleging financial irregularities in Rama Associates Ltd, Zee TV Ltd, Ambience Space Sellers Ltd and Jawahar Goel, director of RAL.

A division bench comprising Justices Devinder Gupta and N G Nandi yesterday directed the respondents to file their replies within three weeks and adjourned the matter for further hearing on October 27.

Central government counsel H S Phulka accepted notice on the ED's behalf.

The petition filed by Zee TV's proprietors through counsel Pratibha M Singh urged the court to direct the ED and the CBDT to complete the investigation into 'mala fide, motivated, engineered and designed false' allegations of the MPs within a time-schedule without causing any undue harassment to the employees and directors of RAL.

The court was also urged to direct the police commissioner to complete the investigation into S R Majumdar's May 20 complaint regarding forgery of his signature in the complaint. The petition also wanted the ED and the CBDT to initiate action against the three MPs for their acts.

UNI

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