Just by paying the tax on it Congress leader D K Shivakumar cannot turn his tainted property into an untainted one, the Enforcement Directorate said Thursday while opposed his bail application in a money laundering case.
The ED told Special Judge Ajay Kumar Kuhar that if released, Mr Shivakumar may influence the persons who are in knowledge of his "grave offence" of money laundering and are yet to be examined.
Additional Solicitor General K M Nataraj, appearing for the ED, said he did not cooperate during the investigation and failed to offer any plausible explanation for the source of acquisition of properties worth Rs 800 crore.
"The declaration of property made by him is irrelevant. The question is how he acquired it. Even if he pays tax on it, it still remains tainted property. By just paying tax tainted property cannot be turned into untainted," the probe agency told the court.
The claims made by the politician were "unbelievable", it said.
"He says he is agriculturist. Rs 1.38 crore from agricultural income is projected by him in last 20 years. Entire property is Rs 800 crores. Saying that Rs 1.38 crore was invested and became 800 is unbelievable," the ED said.
Senior advocate Dayan Krishnan, appearing for the Karnataka Congress leader, opposed the submission saying he never claimed that the mere income from property became Rs 800 crore.
ED's special public prosecutors Amit Mahajan, NK Matta and Nitesh Rana also said that Mr Shivakumar did not cooperate during questioning and offered no plausible explanation on the source of acquisition of the properties.
The court has posted the matter for further hearing on the application on September 21.
The agency said that Shivakumar, who is in judicial custody, did not cooperate during interrogation despite direct documentary evidence linking him with proceeds of crime in the case.
"If enlarged on bail, there exists all likelihood of the applicant hampering the investigation of the case and influencing the persons whose names were revealed during the probe recently. Investigation against the accused is at a crucial stage," it said
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