Court dismisses petition by Amitabh Bachchan's company

  • IndiaGlitz, [Saturday,May 01 2004]

The Delhi High Court Friday dismissed a petition by the Amitabh Bachchan Corporation Limited (ABCL) seeking certain concessions on its income-tax liability.

A division bench comprising judges B.C. Patel and B.D. Ahmed allowed ABCL's counsel to withdraw the petition after he said he did not have a resolution of the company's board to show to the court.

The company set up by superstar Amitabh Bachchan had sought tax concessions in view of an earlier direction from the Board for Industrial and Financial Reconstruction to the income tax department to grant certain concessions on the company's debt liabilities under a certain scheme.

ABCL's counsel said the income tax department had refused to give the concessions, saying that the company had made a recovery from financial problems and become richer.

When counsel said his client was being penalized, the court asked why the income tax department should suffer a revenue loss.

The court permitted ABCL to file a fresh petition.