Imphal, May 17 2010: A total amount of around Rs two crores collected from Professors, Associate Professors and contractors of Manipur University as income tax was found diverted and utilised for other purposes instead of depositing the amount at the Income Tax Department.

This fraudulence was unearthed during a survey conducted by Additional Commissioner of Income tax Department, Imphal LD Mate under the supervision of IRS in the office of MU Finance Officer, Biren.

During the survey conducted under Income Tax Act 1969, it was discovered that the amount collected by DDO from 170 Professors and Associate Professors and 100 contractors as income tax was for 2008-09 and 2009-10 .

Challans for depositing the income tax amount after the expiry of the specified period were also discovered in the course of the survey.

The income tax amount was first diverted and utilised for other purposes before it was deposited at the IT Department after expiry of the specified period.

The MU authorities were also not maintaining written files of quarterly statements or E-TDS (Electronic Tax Deduction at Source) for the last two years.

On account of the fraudulence committed by the DDO, the university is not receiving any tax credits after deduction of income tax.

Moreover, Manipur University has been excluded from the data of the National Security Deposit Limited.

Challans for depositing income tax amount on different dates, all after the expiry of the specified period were also recovered in the course of the survey conducted today in the office of MU Finance Officer.

It is reported that the university may face additional penalty.

It was suspected that the income tax amount might have been diverted to contract works, conveyed the source.

On the other hand, many staff of MU have not been getting full GPF and insurance amounts even as due amounts for GPF and insurance were deducted from their salaries.

The MU authorities did not deposit the GPF and insurance amounts in the accounts of the staff, added the source.

Comment