Punjab minister Navjot Singh Sidhu today alleged that a private TV cable company, under the "patronage" of the previous Akali government, caused a loss of nearly Rs 700 crore to the state exchequer.
Punjab minister Navjot Singh Sidhu today alleged that a private TV cable company, under the "patronage" of the previous Akali government, caused a loss of nearly Rs 700 crore to the state exchequer.
Speaking in the Assembly, and also later to the media outside, the Local Bodies Minister said the company started with a paid up capital of Rs 25 lakh, but earned a whopping Rs 30 crore profit in the first year itself.
"Making so much profit in such a short time out of a small capital is a feat which deserves to be registered in the Guiness Book of World Records," Sidhu said.
He alleged that only 1.25 lakh cable connections were shown in entire Punjab as against actual 80 lakh.
"This was done to evade taxes," he said.
He also demanded a separate probe into the alleged under-reporting of TV connections and cable operators engaged by the company. Sidhu said out of over 8,000 cable operators, 6,500 were under the company.
For the past 10 years, the state exchequer did not get even a penny, he said.
"The company's business flourished because of the patronage given to them by the previous Akalis. It is a unique case where the ruling family violated all government rules and supervised loss of hundreds of crores of rupees to the state revenue," he said in the state Assembly.
Opposition SAD-BJP and AAP MLAs were not present as they had walked out earlier.
"An estimated Rs 700 crore loss has been caused to the state exchequer," he alleged.
No tax or fees was being paid to the civic authorities, no entertainment tax was being paid to the state or the Central government, he further alleged.
He said the Local Bodies Department has started serving notices to the company for recovery of charges pertaining to use of electricity poles, digging of roads for laying the cables and towards entertainment tax.
He said because of the political patronage during the erstwhile Akali regime, only one company monopolised the cable TV business in the state.
He said service tax department has issued notice for Rs 250 crore as outstanding amount the company owes.
"Entertainment tax evasion worth Rs 185 crore which they owe to the Punjab government has come to the fore," he claimed.
Sidhu sought an FIR against the company for laying wires without permission.
"No permission for laying cable above or under the ground was taken by the company, this also poses a threat to national security.
"Cables were laid on the land of Nagar Nigam, on National highways, railway land, forest department land. But they have not sought permission. They owe rent for hanging cables on thousands of electric poles throught the state," he said.
He demanded vigilance inquiry from Chief Minister Amarinder Singh against the "cable mafia".
"Whatever is related to my departments, I will take stern action and recommend a vigilance probe in the entire episode to the chief minister," Sidhu said.
Some ruling Congress members sought time-bound inquiry into the entire episode.
(This article has not been edited by DNA's editorial team and is auto-generated from an agency feed.)
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
)
){kind=small}
){kind=small}
)
)
)
)
)
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}