Business dispute ends in bribery charges: IRS officer and aide arrested

A business partnership turned sour, leading to a dispute and animosity between senior Indian Revenue Service (IRS) officer Dr Amit Kumar Singhal, his associate Harsh Kotak, and prominent businessman Sanam Kapoor. The Central Bureau of Investigation (CBI) alleges that the IRS officer and his aide demanded and accepted bribes.

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Kapoor, a resident of Zirakpur in Mohali, was the partner and director of M/s Copenhegen Hospitality Pvt Ltd, which owns the La Pino’z pizza franchise with around 750 outlets across India. In 2019, Dr Singhal, then posted as Joint Commissioner in the Customs Department in Mumbai, entered into a master franchise agreement with Kapoor’s company through his partnership firm, M/s Parker Impex.

However, due to unprofessional conduct and material violations of the agreed terms, Kapoor terminated the agreements in December 2020. Despite settling all business matters, Kapoor alleged that Dr Singhal and Kotak began to harbour personal enmity towards him. Kapoor claimed that Dr Singhal used his influence to issue a notice under Section 131(1)(a) of the Income Tax Act, 1961, and demanded a bribe of Rs 45 lakh to settle the matter.

The CBI registered a case against Dr Singhal and Kotak after Kapoor filed a complaint. During a sting operation, the CBI caught Kotak red-handed accepting a bribe of Rs 25 lakh from Kapoor at his residence in Mohali. Dr Singhal was apprehended from his residence in Vasant Kunj, New Delhi.

The CBI seized Rs 1 crore in cash and 5.5 kg of gold and silver worth Rs 3.5 crore from Dr Singhal’s possession. Documents related to a locker, 25 bank accounts, and immovable properties in Delhi, Mumbai, and Punjab were also recovered. Both Dr Singhal and Kotak were remanded to 14-day judicial custody. Further investigations are underway.