I-T dept conducts raids, surveys on unrecognised political parties, NGOs Oxfam, CPR

The Income Tax department on Wednesday conducted raids and surveys in various states in separate cases related to alleged tax evasion, violation of FCRA violation and illicit funding of registered unrecognised political parties, official sources said.

The coordinated operations were carried out at over 110 locations in Gujarat, Delhi, Uttar Pradesh, Maharashtra, Madhya Pradesh, Chhattisgarh, Haryana and some other states against certain registered unrecognised political parties and their alleged dubious financial transactions, they said.

Some other instances of political funding through alleged illegal means are also being investigated as part of the action, they said.

The surprise action is understood to have been taken by the department on a recent recommendation of the Election Commission (EC) as part of which at least 198 entities were struck off from its list of registered unrecognised political parties after they were found non-existent during physical verification.

The poll panel had announced that it was taking action against more than 2,100 entities, categorised as registered unrecognised political parties by it, for flouting rules and election laws, including those related to the filing of monetary



contributions, failing to update their address and names of office bearers.

It had said some of these parties were indulging in "serious" financial impropriety. While the searches were on, another operation was unleashed at the premises of NGOs including Delhi-based think-tank Centre for Policy Research (CPR) and global NGO Oxfam India apart from a media foundation as part of a probe related to alleged FCRA contravention in funds received by them, the sources said.

The taxman undertook the surprise action against three more organisations in the non-governmental organisation (NGO) and charitable organisation domain, they said.

There was no immediate comment from Oxfam India, Centre for Policy Research and Bengaluru-based Independent and Public Spirited Media Foundation (IPSMF) and a few others.

Sources said the department is looking at the balance sheets of these organisations vis-a-vis the receipt of funds via the FCRA. According to law, all NGOs receiving foreign funds have to be registered under the FCRA. The government has cancelled FCRA registration of nearly 1,900 NGOs for violating various provisions of law in the last five years. There were 22,762 FCRA-registered organisations till December-end 2021.