Wednesday, 1 May 2019

TAXATION UPDATES 01.05.2019





TAX DEPT TO SHARE ITR DATA WITH GSTN TO DETECT TAX EVASION BY BUSINESS PERSONS

Soon, the tax department will be sharing the income tax return (ITR) data of business persons with the Goods and Services Tax Network (GSTN) officer. The move is aimed at spotting income anomalies or mismatches between their GST returns and ITR. Clearly, business persons need to ensure that their income tax returns and GST returns correlate. In simple terms, a business person whose income as per ITR is sharply at variance with what is declared in his/her GST returns would come under the lens. Before GST was introduced, the department could not reconcile the data filed by the business persons in his/her sales tax return/service tax return and ITR. This was because sales tax return was filed at the various state levels and service tax return was filed at the national level. However, post the introduction of GST, such data will now be available at the central level which makes exchange of data between the two authorities easy. This move will apply for all those assessees who have business income and file the returns specified for those with this income i.e. ITR 3 to ITR -7. As per the order issued by the Central Board of Direct Taxes (CBDT) dated April 30, 2019, important financial fields such as - status of filing of ITR, turnover, gross total income, turnover ratio, gross total income range, turnover range and any other field which will be decided by the concerned authorities themselves will be shared by the income tax department with the GSTN officers.
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ICICI-VIDEOCON LOAN CASE: ED GRILLS CHANDA KOCHHAR'S BROTHER-IN-LAW RAJIV KOCHHAR FOR THIRD CONSECUTIVE DAY

The Enforcement Directorate (ED) grilled Rajiv Kochhar, former ICICI Bank chief Chanda Kochhar's brother-in-law, for the third consecutive day in connection with the Videocon-ICICI Bank case. The ED said that Rajiv Kochhar withheld crucial information pertaining to the investigation. Meanwhile, Chanda Kochhar who is scheduled to appear before the ED on May 3 has requested the agency to postpone her questioning by a few days citing personal reasons. Her husband, Deepak Kochhar has also asked the ED to postpone his session. Sources told India Today that the husband-wife duo will be summoned by the ED on May 10 or after that. Sources also told that the agency asked Chanda Kochhar to appear before the ED with a list of assets, both moveable and immoveable. She has also been asked to give a list of disclosures made to Reserve Bank of India (RBI), Securities and Exchange Board of India (SEBI) and other regulators when she was heading ICICI Bank. Moreover, Deepak and Rajiv Kochhar have also been summoned by the ED on April 30.
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TWO CHEERS FOR GST’S ANTI-PROFIT WING

The anti-profiteering clause of the GST Act is now in the news, with some companies under the lens for allegedly not complying with it. The cases that have come to light have been intriguing. They show an increase in base price to offset the tax reduction. However, companies argue that these increases are not without basis. Compared with some other Sections of the GST law, Section 171 is not a very lengthy one The first clause of this Section states that any reduction in rate of tax on any supply of goods or services or the benefit of input tax credit shall be passed on to the recipient by way of commensurate reduction in prices. As per the requirement of the second clause of the Section, a National Anti-Profiteering Authority (NAA) was set up to look into cases of possible anti-profiteering. Till date, around 100 cases of anti-profiteering have been referred to the authority. However, there have been complaints from consumers that the firms have increased the base price of products and then charged the lower GST rate, thereby keeping the MRP of products the same, pre and post-tax rate cut. Once a profiteering complaint is received against a company, the DGAP has the powers to look into the books of accounts and see if the benefits of tax rate cuts have been passed on with respect to other products manufactured by the company as well. After studying the documents, the DGAP gives its report to the NAA for further action. If the NAA finds a firm guilty of profiteering then the amount profiteered has to be refunded to consumers by the company. In case where the consumers cannot be identified, the amount has to be deposited into the consumer welfare fund of the Centre and States.
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APEX COURT DIRECTS CENTRE TO RESPOND BY MAY 4 TO PLEAS SEEKING REVIEW OF RAFALE VERDICT

The Supreme Court on Tuesday directed the Centre to file response by May 4 to the petitions seeking review of last December’s verdict by which the apex court had dismissed the pleas challenging India’s deal to procure 36 Rafale fighter jets from France. A bench headed by Chief Justice Ranjan Gogoi did not allow the plea of the Centre that it be granted four weeks time to file its response to the pleas. It asked it to submit the response latest by Saturday. The bench, which also comprised Justices S K Kaul and K M Joseph, has now fixed on May 6 the petitions seeking review of the verdict.
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I-T RAIDS AT PLACES BELONGING TO LOTTERY BUSINESSMAN

The Income Tax (I-T) department is conducting searches across the country at places belonging to Martin Sandhiyagu, also known as Lottery King. Martin's main business is operation of lotteries run by state governments under agreements with them to function as a marketing agent. A senior IT official said, The Coimbatore Unit of Investigation Directorate, Chennai has commenced searches under section 132 of I-T Act. The searches are on at over 70 premises including Coimbatore, Chennai, Kolkata, Mumbai, Delhi and Hyderabad.
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RAHUL GANDHI CITIZENSHIP: REHASHED ALLEGATION, SAYS CONGRESS

The Congress on Tuesday said the Narendra Modi government had been silent on allegations about Rahul Gandhi's citizenship for the last four years because they themselves knew the truth. Acting on a complaint from BJP MP Subramanian Swamy, the MHA has asked Mr. Gandhi to provide the factual position of his citizenship Mr. Swamy has alleged that Mr. Gandhi had declared his nationality as British in documents related to a United Kingdom company that he was a director in. Mr. Gandhi's sister and party general secretary Priyanka Gandhi said, The whole of India knows that Rahul Gandhi is an Indian. He was born and brought up in front of them. What rubbish is this!. Randeep Surjewala said a similar allegation was raised in 2015 and the question of Mr. Gandhi's citizenship was settled by the Supreme Court, which dismissed the petition on the issue on November 30 that year. Prime Minister Narendra Modi has lost the plot. After the four phases of election, it is clear that Modi ji and BJP are hurling at imminent defeat at a breakneck speed. Consequently, they seek to manufacture one malicious allegation each day. These are rehashed allegation. They had made similar allegation in 2015 too, Mr. Surjewala said. The entire allegation was based one document - the certificate of incorporation for a company called Backops Limited, of which Mr Gandhi was a director. The Congress released the original document on Tuesday, which showed that Mr Gandhi is an Indian. He is an Indian by birth and everyone knows about the sacrifices made by three generations of his family, Mr. Surjewala said.
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TIMING OF MHA NOTICE TO RAHUL NOT RELEVANT, IT’S NORMAL PROCESS: RAJNATH SINGH

Hours after the MHA served a notice to Rahul Gandhi seeking clarification on his citizenship status Rajnath Singh Tuesday said the timing of the communication is not relevant, even though it came in the middle of general elections. It is not a big development. It is a normal process he said, when asked about his ministry serving the notice to the Congress chief asking him to clarify within a fortnight his factual position on a complaint questioning his citizenship status. The Home Ministry issued the letter after it received a representation from BJP MP Subramanian Swamy in which he has claimed that a company named Backops Limited was registered in the United Kingdom in 2003 with Gandhi as one of its directors. Singh told, If any member of Parliament raises a question in Parliament, it becomes necessary to respond to it. If any MP writes a letter to any ministry, then necessary proceedings are undertaken by the ministry. It is not a big development, it is a normal process. Asked specifically if the timing of the letter raising question on the citizenship of the country’s main opposition leader was relevant as it comes in the election season, Singh replied, No, no. This question was raised in Parliament also. A Member of Parliament (Dr Subramanian Swamy) has written to the ministry several times as well, following which the action has been taken. Gandhi is seeking reelection from the Amethi Lok Sabha constituency which goes to polls in the fifth phase of voting on May 6.
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PM RESORTING TO ‘FAKE NARRATIVE’ TO DIVERT ATTENTION: CONGRESS ON MHA NOTICE TO RAHUL GANDHI

The Congress on Tuesday hit out at Prime Minister Narendra Modi over the Home Ministry notice to Rahul Gandhi on his citizenship status, saying the PM is resorting to a fake narrative to divert attention Reacting to the notice, Congress chief spokesperson Randeep Surjewala said the entire world knows Gandhi is an Indian citizen by birth. Prime Minister Modi has no answer on unemployment, agrarian distress and black money, and that is why he’s resorting to fake narrative through his government’s notices to divert attention, Surjewala told reporters. In a letter, the Home Ministry said it has received a representation from BJP MP Subramanian Swamy in which it has been brought out that a company named Backops Limited was registered in the United Kingdom in 2003 with Gandhi as one of its directors. The Home Ministry said Swamy’s letter also mentioned that in the British company’s annual returns filed on October 10, 2005 and October 31, 2006, Gandhi’s date of birth has been given as June 19, 1970 and had declared his nationality as British. You are requested to intimate the factual position in the matter to this Ministry within a fortnight of the receipt of this communication, the Home Ministry notice issued Monday said.
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MAYAWATI THREATENS TO ‘RECONSIDER’ SUPPORT TO CONGRESS GOVERNMENT IN MADHYA PRADESH

Mayawati on Tuesday threatened to reconsider continuing support to the Kamal Nath-led government in Madhya Pradesh after her party candidate from Guna Lok Sabha seat joined the Congress. BSP candidate from Guna, Lokendra Singh Rajput, joined the Congress on Monday evening and extended his support to Guna’s sitting MP and Congress candidate Jyotiraditya Scindia. Reacting to it, Mayawati on her official twitter handle said, The Congress is not behind of BJP in misusing the government machinery. The Congress has intimidated the BSP candidate from Guna in MP to withdraw from the fray. But, the BSP would reply by contesting the elections on its own symbol and also reconsider continuation of support to the Congress government, she tweeted in Hindi.
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DEVENDRA FADNAVIS URGES EC FOR ‘RELAXATION’ IN MCC TO CARRY OUT DROUGHT RELIEF WORK IN MAHARASHTRA

Maharashtra Chief Minister Devendra Fadnavis on Tuesday urged the Election Commission to provide relaxation in Model Code of Conduct in the state for carrying out drought relief work. In a letter to the poll panel, Fadnavis said that 151 talukas of the state have been declared drought-hit. The Chief Minister further said that the central government has passed a budget of Rs 4,714 crore for drought relief in the state. There are a number of infrastructures works such as drilling of bore wells, repairs to drinking water schemes, irrigation canal maintenance works etc. which need to be taken up during the extreme summer. The Government of Maharashtra declared 151 Talukas as drought affected and Government of India has extended the assistance of 4714 Cr. Rs. in this regard. Separately I am proposing the cabinet meeting on this issue at the earliest, reads the letter. Fadnavis urged the commission to allow a visit to the drought-affected areas to take stock of the condition and access the relief measures that need to be implemented.
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SETBACK FOR KIRAN BEDI: L-G HAS NO POWERS TO INTERFERE IN PUDUCHERRY GOVT’S DAILY AFFAIRS, RULES MADRAS HC

In a major setback for Kiran Bedi, the Madras High Court on Tuesday ruled that the Puducherry Lieutenant Governor has no right to interfere in the day-to-day affairs of the city government. Bedi has been engaged in a tug war for power with Chief Minister V Narayansamy since joining the office in May 2016. As per the HC order, the decisions of the chief minister and his council of ministers is binding on secretaries and other government officials. The fresh order has come following a writ petition filed by Puducherry Congress MLA Lakshminarayanan in 2017, in which he questioned the L-G’s powers to interfere in administrative works even during the presence of council of ministers. Both Kiran Bedi and Narayansamy are yet to repond to the order. Since 2016, the two sides have been at loggerheads on a number of issues. The CM has often claimed that the L-G was interfering in the functioning of the government and stalled development in the state with several proposals pending with her office’. A video had surfaced in February showing Bedi spreading awareness on Puducherry roads of Puducherry. She could be seen in the video, stopping a number of two-wheeler riders for not wearing a helmet and advising them to wear one. She can also be seen advising people with kids and those riding with two pillions to wear the same. The former IPS officer also makes people understand how avoiding helmet can be extremely dangerous. She also suggests two-wheeler riders why triple riding should be avoided.
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GAUTAM GAMBHIR ISSUED SHOW-CAUSE NOTICE OVER POLL CODE VIOLATION

The poll authorities have issued a show-cause notice to BJP's East Delhi candidate Gautam Gambhir for allegedly violating the model code of conduct after an advertisement featuring him appeared in a national daily. The Media Certification and Monitoring Committee of East Delhi noticed the advertisement which appeared on April 26 in the newspaper promoting a cricket game app -- CricPlay -- along with a photo of Gambhir, according to the notice issued by the Returning Officer of the East Delhi Lok Sabha constituency. This appears to be a surrogate advertisement which appears to have political overtures in favour of a contesting candidate of a particular political party which is contrary to the Model Code of Conduct, it said. According to the notice, the advertisement, which carries the tagline 'Ab Mere saath India khelega', also committed for a daily cash prize to the winner of the game. The notice issued to Gambhir and the publication on April 29 has directed to submit or produce documents or certification obtained from the Media Certification and Monitoring Committee set up by the Election Commission by May 2, failing which action will be initiated. The BJP has fielded Gambhir from the East Delhi parliamentary constituency replacing sitting party MP Maheish Girri.
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EC IMPOSES FRESH BAN ON AZAM KHAN FROM HOLDING RALLIES

Samajwadi Party leader Azam Khan was on Tuesday barred from campaigning for 48 hours for his provocative remarks against poll authorities in Uttar Pradesh and making communal statements, officials said. This is the second time this month that the EC has imposed a ban on him. The fresh ban will come into force at 6.00 AM Wednesday.
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LALU CAMPAIGNING WOULD HAVE 'BETTER SUITED' NDA AS HE SYMBOLISES 'JUNGLE RAJ': SUSHIL KUMAR MODI

Sushil Kumar Modi on Tuesday said the presence of jailed RJD chief Lalu Prasad Yadav in the Lok Sabha campaign would have better suited the NDA as he symbolises jungle raj for voters, and claimed the saffron alliance will better its 2014 tally of 31 in the state this time. The National Democratic Alliance may end up winning 38-39 of the 40 seats in Bihar, the BJP leader said. The combine for the first time includes Chief Minister Nitish Kumar's JD(U) and Union minister Ram Vilas Paswan's LJP while the opposition alliance has tried, tested and failed leaders and is marred by sabotage and rebellion, Sushil Modi told. The Janata Dal-United and the Lok Janshakti Party have been BJP allies in earlier polls as well but this is the first time they are together in the same camp. Describing Kumar as the face of the NDA campaign in Bihar, Sushil Modi said the alliance will benefit from the work done by the Prime Minister Narendra Modi-led central government as well as the state dispensation, unlike in 2014 when it was not in power in either of the places. The BJP leader's barb at Yadav comes in the backdrop of the RJD leader's son Tejashwi Yadav making his father's incarceration one of the themes of his campaign, alleging a conspiracy due to the former Bihar chief minister's vehement opposition to the saffron party. The RJD won only four seats in 2014 when Lalu Yadav led its campaign, Sushil Modi said, asserting that the NDA would have preferred him to be outside jail. We wish he had got bail. To the people of Bihar, he symbolises 'jungle raj', anarchy and lawlessness the more he would have campaigned against us, the more polarisation of voters would have occurred in our favour. He suits us better outside jail and would have politically benefited us, Sushil Modi said. Asked about opposition criticism that the BJP is using the nationalism plank to avoid discussing substantive issues like jobs, Sushil Modi said opposition parties are unable to make a sensitive issue like price rise an election topic this time because of the government's capable handling of the economy. I have not even one per cent doubt that the BJP will again get a majority on its own in the Lok Sabha polls, he said.
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AKHILESH SLAMS PM'S COMMENT ON BEING IN TOUCH WITH 40 TMC MLAS, SAYS HE SHOULD BE 'BANNED FOR 72 YEARS'

Attacking Narendra Modi for claiming that 40 TMC MLAs were in touch with him, Samajwadi Party president Akhilesh Yadav Tuesday said the prime minister should be banned for 72 years for his shameful speech The Election Commission has recently barred several leaders including Uttar Pradesh Chief Minister Yogi Adityanath and Punjab Minister Navjot Singh Sidhu from campaigning for 72 hours due to poll code violations. Vikas (development) is asking Did you hear the shameful speech of Pradhanji (PM)? After losing the faith of 125 crore countrymen, he (Modi) is now relying on the unethical assurance of defection allegedly given by the 40 MLAs, he tweeted. This reflects his (Modi) black money mentality. He should be banned for not 72 hours but for 72 years, he said.
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ACCHE DIN’ MORE ELUSIVE THAN ‘YETI’: AKHILESH YADAV’S JIBE AT PM MODI

Akhilesh Yadav Tuesday said the ‘Achhe Din’ or good days promised by the central government are more elusive than the ‘Yeti’. Akhilesh’s comment comes in response to the Indian Army’s discovery of footprints of an alleged mythical creature called ‘Yeti’ during an army expedition to Mount Makalu. It seems that Acche Din are more elusive than the Yeti, Akhilesh tweeted.
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NARAYAN SAI, SON OF SELF-STYLED GODMAN ASARAM, GETS LIFE SENTENCE IN RAPE CASE

Narayan Sai, son of self-styled godman Asaram Bapu, was sentenced to life imprisonment in a rape case by a Surat court on Tuesday. Narayan Sai, 47, and his father are currently lodged in jail is connection with separate cases of sexual assault. The court had last week convicted Narayan Sai under IPC sections 376 (rape), 377 (unnatural offences), 323 (assault), 506-2 (criminal intimidation) and 120-B (conspiracy).
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HIGH OIL PRICES MAY STOKE INFLATION, HURT COMPANIES’ EARNINGS

As the world’s third largest importer of oil, India is among the most vulnerable to rising energy costs. It imports more than 80% of its oil requirements. With Brent crude at a six-month high, it poses a clear risk to India’s fiscal health. Inflationary pressures may also prompt the Reserve Bank of India (RBI) to rethink the pace of interest cuts. Last week, Brent crude oil rose above $75 per barrel for the first time in 2019 in the wake of tighter sanctions on Iran. The US said it would end all exemptions for sanctions against Iran, demanding countries halt oil imports from Tehran from May or face punitive action from Washington. So far this year, crude has jumped nearly 33%, while Sensex is up over 8%. In April so far, Brent has climbed 5.25%. Christopher Wood, in his weekly note to investors, Greed & Fear, said oil price is just as likely to spike to a three figure level if the US really implements the threatened policy, just as was also the case six months ago. He thinks that higher oil prices are probably the biggest risk for the Indian equity story on a five-year view. In an Asian or, even better, emerging market portfolio, that risk is best hedged by owning oil stocks. In this respect, any decision by (US President Donald) Trump to back off (from) his aggressive stance on Iran should be viewed as an opportunity to add to oil play, Wood said in his note published last week. As a base case, he expects the US may soften its stance on crude oil. UK-based Oxford Economics expects Brent rising to $100 per barrel by the end of 2019. When this happens, global GDP (gross domestic product) growth may decline by 0.6% in 2020 with global inflation rising by 0.7 percentage point, it said. It added that the hardest hit economies in 2020 are large oil-importing emerging markets such as the Philippines, China, India and Argentina. The risk from a supply-side driven rise in oil prices is negative for Asia markets and especially for India, the Philippines and Thailand, said Nomura in a note on 24 April. It had said that the economies that could suffer the most due to rise in oil prices are Cambodia, Romania, Turkey, Sri Lanka, Ukraine, India, and Pakistan. Rise in crude prices also impact raw material supply chain of many manufacturing companies as India imports a major portion of its crude requirements. Impact on demand and higher input costs puts pressure on the operating margins and it has to be seen if this extent of price rise will be absorbed or passed on to consumers. Indirectly, there will be additional burden of freight cost for some companies. However, the negative impacts will materialize only if oil continues to sustain at elevated levels, he said.
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US COMMERCE SECRETARY ROSS TO MEET SURESH PRABHU ON 6 MAY TO DISCUSS TRADE ISSUE

US Commerce Secretary Wilbur Ross will meet Commerce Minister Suresh Prabhu on May 6 to discuss trade-related issues amid America's decision to withdraw export benefits to Indian exporters, sources said. Ross is coming to participate in the Trade Winds Indo-Pacific Forum and Mission and would hold bilateral meeting with Prabhu, one of the sources said. Currently, the India-US trade relation is going through a rough patch as the US has decided to withdraw export benefits to Indian exporters under the Generalized System of Preferences (GSP) programme. The Trump administration has alleged that India in imposing high import duties on products such as paper and Harley Davidson motorcycles from America. On the other hand, India has notified retaliatory tariffs on 29 US products but has time and again extended the deadline for imposing them. The latest deadline will end on May 2 and the commerce ministry has asked the revenue department to again extend the deadline by another 14 days.
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LISTING OF MASOOD AZHAR AS GLOBAL TERRORIST: SOME PROGRESS MADE, ISSUE WILL BE 'PROPERLY RESOLVED', SAYS CHINA

China said on Tuesday that the vexed issue of designating Jaish-e-Mohammed chief Masood Azhar as a global terrorist by the UN will be properly resolved but it did not give any timeline days after Chinese President Xi Jinping met Pakistan Prime Minister Imran Khan. China put a technical hold in March on a fresh proposal to impose a ban on the head of Pakistan-based JeM which claimed responsibility for the deadly Pulwama terror attack. It was for the fourth time, China blocked Azhar's listing as a global terrorist by the UN. I can only say that I believe that this will be properly resolved, Chinese foreign ministry spokesman Geng Shuang told. China has reportedly consented to lift its technical hold on a fresh proposal moved by France, the UK and the US to list Azhar under the 1267 Al Qaeda Sanctions Committee of the UN Security Council. The US, the UK and France this time stepped up pressure on Beijing by taking the issue directly to the powerful UN Security Council (UNSC). Though China can exercise its veto power as a permanent member of the UNSC, Beijing has staunchly opposed the issue to be taken to the apex UN body as it has to publically explain its stand on its reservations to list Azhar, whose group JeM has already been designated as terror outfit by UN, before exercising its veto. Regarding the listing issue in the 1267 Committee, we have expressed our position many times and I just want to stress two points, Geng said. First, we support the listing issue being settled within the 1267 committee through dialogue and consultation and I believe this is the consensus of most members. Second, the relevant consultations are going on within the committee and has achieved some progress. Third, I believe, with the joint efforts of all parties, this issue can be properly resolved, he said. On reports that China would lift its technical hold on May 1, he said, on the listing issue, China is still working with the relevant parties and we are in contact with all relevant parties within the 1267 Committee and I believe with the joint efforts of all parties, this will be properly resolved.
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DONALD TRUMP PROPOSES TO WITHDRAW FROM UN ARMS TRADE TREATY, SAYS WILL NEVER SURRENDER AMERICAN SOVEREIGNTY TO ANYONE

Donald Trump announced Friday that the United States would not abide by a UN treaty aimed at regulating the global arms trade, calling it misguided and an encroachment on US sovereignty. Trump said the US Senate had never ratified the 2013 Arms Trade Treaty despite his predecessor Barack Obama having endorsed it, and said he would never ratify it. We will never surrender American sovereignty to anyone, Trump said in a speech to the National Rifle Association in Indianapolis. We will never allow foreign bureaucrats to trample on your Second Amendment freedom, he said, referring to the constitutional right to bear arms. And that is why my administration will never ratify the UN arms trade treaty. I am officially announcing today that the United States will be revoking the effect of America's signature from this badly misguided treatment (sic). We're taking our signature back. The treaty, which entered into effect in December 2014, seeks to regulate the flow of weapons into conflict zones. It requires member countries to keep records of international transfers of weapons and to prohibit cross-border shipments that could be used in human rights violations or attacks on civilians. While 130 countries originally signed the treaty, only 101 have ratified and joined it. Those include major powers like France, Germany and the United Kingdom. The world's largest arms traders, the United States, China and Russia, have notjoined. In a statement the White House said the treaty fails to truly address the problem of irresponsible arms transfers, while providing a platform for those who would seek to constrain our ability to sell arms to our allies and partners. It also claimed that some groups are trying to use the treaty to overturn sovereign national decisions on arms exports -- pointing to one effort to block the British government's sale of weapons to Saudi Arabia. The ATT is simply not needed for the United States to engage in responsible arms trade, the White House said.
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TRUMP SUES BANKS IN BID TO BLOCK CONGRESS SUBPOENAS

Donald Trump, along with his family and businesses, on Monday sued Deutsche Bank and Capital One in an attempt to stop them from complying with Congressional subpoenas issued as part of a probe into foreign political influence. The subpoenas -- which the Trumps described in their suit as intrusive and overbroad -- were issued to several banks by the Democratic-majority House's intelligence and financial services committees, which are looking into the president's finances as part of a larger probe into election meddling by Russia. The lawsuit is the latest step in Mr. Trump's fightback against the Democrats, and alleges that the subpoenas have no legitimate or lawful purpose. The subpoenas were issued to harass President Donald J. Trump, to rummage through every aspect of his personal finances, his businesses, and the private information of the President and his family, and to ferret about for any material that might be used to cause him political damage, said the suit, filed with the US federal court in the Southern District of New York. No grounds exist to establish any purpose other than a political one. The suit accuses Congress of stepping beyond its law-making mandate into law enforcement, and says the subpoenas violate the privacy rights of Mr. Trump and his family. Deutsche Bank was one of the few major Western financial institutions to continue to lend to Mr. Trump's real estate empire after several of its casinos went bankrupt in the 1990s, resulting in claims by creditors valued at $330 million in present-day dollars. We remain committed to providing appropriate information to all authorized investigations and will abide by a court order regarding such investigations, the German bank said in a statement.




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