The Income Tax Appellate Tribunal (ITAT) order on NDTV has stated that in the year 2009, the Ministry of Corporate Affairs was hands in gloves with the owners of NDTV in hiding financial information of the foreign shell companies floated and used for money laundering of Rs 642 crores.

The ITAT held Dr Prannoy Roy personally responsible in tax evasion and laundering of 642 crore of rupees.

The order states that NDTV and its promoters laundered 1,100 crore of black money during 2007-08 to 2009-10 out of which finding of black money to the tune of 642.54 crore and its laundering has been confirmed by the ITAT

“The ITAT confirmed the finding of the income Tax Department that Prannoy Roy made conscious attempt to hide financial details of foreign paper subsidiary companies of NDTV by not attaching audited profit loss account, balance sheet and annual report of these foreign shell companies along with annual report of NDTV,” ITAT order read.

The ITAT further holds the view that Dr Roy, before making an application to Ministry of Corporate Affairs on May 8, 2009, seeking an exemption to the NDTV for not making disclosure of financials of foreign companies misinformed shareholders and other regulatory authorities on April 30, 2009, that Ministry of Corporate Affairs has already granted the exemption to NDTV.

“In the nutshell, Dr Roy was sure that MCA will grant such exemption even before approaching the ministry,” the order read.

The tribunal also observed, "It is for other regulatory and supervisory agencies to get alarmed with such an act. In view of these glaring facts, we do not have any hesitation to say that the conduct of the assesse shows that they never had intention to disclose the details of its subsidiary companies and financial transactions to its stakeholders and to regulatory authorities including Income Tax Authorities.”