IT dept examining documents relating to CWG broadcast rights

The Income Tax (I-T) department is scrutinising financial documents relating to the broadcast rights for the Commonwealth Games (CWG) following charges of alleged tax evasion.

The department has conducted survey operations on the Indian arm of a London-based broadcast company and has found alleged discrepancies in the tax statements of the company, sources said.

The department is investigating if the discrepancies to the tune of crores of rupees is related to the earnings of the company from its deal with the CWG Organising Committee and if it results into a case of tax evasion, they said.

The department has also sourced documents relating to the award of job by the OC to the company and is studying its terms of operations.

Sources said the department is also probing the financial and banking channels through which the money was paid to the company by the OC.

The department is also looking at the provisions of international taxation in the deal which involves tax agreements between two countries-- in this case between the United Kingdom and India.

The Enforcement Directorate and the I-T department are also likely to issue summons to CWG Organising Committee officials soon as part of their overall probe into alleged corruption during the run-up to the sporting extravaganza.

Both the investigating agencies have already obtained a "fair amount" of details about the banking transactions undertaken by the OC.