IRS officer held in Rs 45 lakh bribery case

The Central Bureau of Investigation (CBI) arrested a senior Indian Revenue Service (IRS) officer and a businessman in a Rs 45 lakh bribery case. This arrest highlights ongoing challenges in tackling corruption within government agencies.
Background of the Case
Sanam Kapoor, owner of the pizza chain La Pino’z, filed the complaint. He claimed that businessman Harsh Kotak broke a franchise agreement by supplying cheap materials. Kapoor demanded to repurchase the franchise at a higher price due to the breach.
Soon after, Kapoor faced pressure from regulatory bodies. He received multiple notices from the Income Tax and Food Safety departments. Kapoor alleged that these notices aimed to extort bribes.
The IRS Officer’s Role
Amit Kumar Singhal, a 2007-batch IRS officer, served as Additional Director General at the Directorate of Taxpayer Services in New Delhi. He reportedly demanded Rs 45 lakh to withdraw the notices and grant favorable treatment.
Singhal collaborated with Kotak to collect the bribe. During a sting operation, CBI caught Kotak accepting Rs 25 lakh at Singhal’s residence in Mohali.
Arrests and Recovery
The CBI arrested Kotak and Singhal soon after. Singhal was arrested at his home in Vasant Kunj, Delhi. The agency searched multiple locations in Delhi, Punjab, and Mumbai.
During the searches, CBI recovered Rs 30 lakh in cash and 2.5 kilograms of gold jewelry. Authorities believe these were proceeds from the bribery.
Both accused remain in judicial custody for 14 days. The investigation continues as the CBI probes deeper.
Broader Implications
This case exposes persistent corruption in tax and regulatory departments. Such graft undermines public trust and harms honest businesses.
Experts warn that bribery in tax departments distorts the economy. It allows some businesses to gain unfair advantages and evade taxes.
Government Response
The Ministry of Finance and Central Board of Direct Taxes (CBDT) have launched internal reviews. They aim to improve anti-corruption measures within the department.
To reduce corruption, the government promotes transparency and digitization. Online tax filing and grievance systems limit human intervention. These steps help curb bribery, though vigilance remains crucial.
Public and Industry Reaction
The arrest shocked many but reassured those demanding clean governance. Business groups urged faster reforms to create a fair environment for all.
They stressed that transparency and accountability encourage investment and entrepreneurship.
The Road Ahead
The CBI continues its probe to identify others involved. The arrests send a clear message: corruption will face strict punishment.
For citizens and businesses, this case shows the need for integrity and oversight in public offices. Despite progress, India must do more to build a corruption-free system.