Malpractices by Members of ITAT

Government has informed the Rajya Sabha that the Chief Justice of India had asked the Central Government (vide letter dated 18.2.2011) to take appropriate decision in terms of section 252 of the Income Tax Act, 1961, read with Income Tax Appellate Tribunal (ITAT) Members (Recruitment and Conditions of Service) Rules, 1963, in respect of certain Members of the Tribunal who are alleged to have an unholy nexus with private persons on account of issuance of orders favouring the clients, resulting in possible losses caused to the Government. Giving this information in written reply to a question in the Rajya Sabha, Shri Salman Khurshid, Minister of Law & Justice, said that the matter is under consideration. Shri Khurshid gave this information in reply to a question whether it is a fact that the Chief Justice of India had asked Government to take appropriate action against at least 20 members of the Income Tax Appellate Tribunal who are alleged to have outsourced writing of judgments to private parties and got financial favours in return.