MUMBAI: Maharashtra Deputy Chief Minister Ajit Pawar and his family have been cleared of allegations related to benami property transactions by the Income Tax Appellate Tribunal. This decision marks a significant turn in a case that has been under scrutiny for several years, involving assets worth approximately Rs 1,000 crore.

The case dates back to 2021 when the Income Tax Department conducted extensive raids on properties linked to Ajit Pawar and his family. These properties included multiple land parcels in Maharashtra, a flat in Delhi, the Jarandeshwar Sugar Mill in Satara, and a resort in Goa. The department alleged that these properties were acquired through benami transactions, where the actual ownership was concealed under the names of proxy owners.

The Income Tax Appellate Tribunal's recent ruling dismissed the allegations against Pawar and his family, citing a lack of sufficient evidence to prove that the properties were acquired through illegal means. The tribunal noted that the funds used to purchase these properties were legally sourced and that there was no direct link between Ajit Pawar and the alleged benami transactions.

One of the central points of the investigation was the acquisition of the Jarandeshwar Sugar Mill and the tribunal ruled that there was no evidence to suggest that Ajit Pawar used his position in the Maharashtra State Co-operative Bank (MSCB) to facilitate the purchase of the mill at a reduced price. The mill was acquired by a Mumbai-based company through an MSCB auction and later leased to a firm linked to the Pawar family.

In 2022, the Income Tax adjudicating authority ordered the release of Jarandeshwar Sahakari Sugar Karkhana and three other properties that had been seized under the Benami Transactions (Prohibition) Amendment Act, 2016. Following this decision, the case progressed to the appellate tribunal. Despite the authority's order, the mill remained attached by the Enforcement Directorate in accordance with the Prevention of Money Laundering Act, as upheld by the adjudicating authority.

The tribunal also emphasized that all transactions were conducted through legitimate financial channels, either via banking systems or other methods compliant with the law. This finding was crucial in dismissing the allegations of benami ownership.

Regarding the IT case, Pawar's legal team referenced a recent Supreme Court ruling which stated that attachments made after the 2016 Benami Transactions (Prohibition) Amendment Act could not apply to properties purchased before the amendment. This ruling played a significant role in the tribunal's decision to clear Pawar and his family.

The clean chit from the Tribunal marks a significant development in Ajit Pawar's political career, potentially strengthening his position within the state government. Ajit Pawar, who was recently sworn in as Deputy Chief Minister in the BJP-led state government, expressed relief at the tribunal's decision. He reiterated his commitment to serving the people of Maharashtra and maintaining transparency in his public and private dealings.