HC orders deletion of Kesri's name in probe against Congress

HC orders deletion of Kesri's name in probe against Congress
PRESS TRUST OF INDIA

NEW DELHI, NOV 20: The Delhi High Court today ordered the deletion of former Congress President Sitaram Kesri's name from a case related to the party allegedly receiving Rs three crore as a donation from some foreign companies in the early nineties in violation of Foreign Contribution Regulation Act (FCRA).

A bench comprising Chief Justice Arijit Passayat and Justice D K Jain ordered the deletion of Kesri's name after a lawyer appearing on his behalf said there was no point in continuing his name in the list of respondents after his death.

The court, meanwhile, directed CBI to file a status report on the progress of the investigation into the case.

The court expressed surprise over the delay by CBI in filing the report though the Centre in its affidavit in July last year had stated that the investigation had been handed over to the agency.

The court was hearing a public interest litigation accusing the Congress party of receiving donations from four companies based in Caribbean Islands in violation of FCRA as the Act prohibits political parties from taking any money from foreign sources.

Kesri was named as respondent in the PIL filed by a Patna-based journalist Madhuresh because he was Congress treasurer when the money was allegedly received by the party.

Petitioner's counsel Prashant Bhushan contested the Congress party and Government stand that the companies which donated the money were having shares by NRIs, and therefore the provisions of FCRA were not applicable in this case.

The PIL said the Income Tax Department had issued a notice to the Congress party seeking an explanation about the donation it received from foreign companies -- Dominion Trading, Dierra Trading, Decor Trading and Berkeley Trading on November 30, 1994.

The Income Tax authorities in February 1997 had come to the conclusion that receiving donations by the Congress amounted to violation of the FCRA and the department had subsequently prepared a report to this effect.

Bhushan said the Congress and Government stand that no case for violation of FCRA could be made out because NRIs were the shareholders in these companies did not hold any ground as all these companies were incorporated in foreign countries.

The FCRA privisions made it amply clear that no political party could receive any donation from any company, society or association incorporated abroad, he said.

Additional Solicitor General K K Sud told the court that the matter was being investigated and a report would be filed as soon as the probe was completed.

Bhushan said that since the Government and the Congress had filed their affidavits, the only question which remained to be decided was whether the party could be prosecuted for the alleged FCRA violation.

Sud said any action in this regard would follow only after completion of the probe.