Rana Ayyub breaks silence on ED probe, claims relief campaign funds accounted for

Mangalore Today News Network

New Delhi, Feb 11, 2022: Rana Ayyub on Friday issued a statement in response to allegations made against her by the Enforcement Directorate (ED). A senior journalist, Rana Ayyub has been accused by the agency of misappropriating funds received for relief during the Covid-19 pandemic.

 

The statement issued by Rana Ayyub on Friday goes on to say, "It is abundantly clear that no part of the relief campaign fund remains unaccounted for, and there is absolutely no scope for any remote allegation of misuse of the funds for personal expenses.

"Such allegations are preposterous, wholly mala fide and belied by the record, and are a deliberate misreading of my bank statements."

Rana Ayyub says she started fundraisers on the Ketto platform in April 2020, June 2020 and May 2021 to "aid in providing respite to the most vulnerable and affected people with food grains, rations, and medical assistance".

In her statement, the journalist says she was asked by Ketto to furnish details of two bank accounts where donations would be transferred.

"I then explored whether it was possible for Ketto to directly transfer the funds to the grain vendors who were going to provide the supplies for the relief work. However, as the vendors were all required to submit various documents to Ketto, the process could not take off.

"My personal bank account could not be used at that time as Ketto required the physical copy of my PAN card to be furnished immediately, which at that time was unavailable. In these circumstances, as I thought that aid to Covid-19 ravaged families should not be delayed, I gave Ketto the details and documents relating to my father and sister’s bank accounts," the statement adds.

Rana Ayyub goes further to say that she regularly posted updates on social media about funds raised by her for relief work.

"I was also aware that a part of the money was donated to the relief campaign by Muslims in India in the month of Ramadan, presumably as Zakaat. As a practicing Muslim, I understand the sanctity of Zakaat and its intended use for those in need," she writes.

Rana Ayyub goes on to add that this was the same time she contracted Covid-19 and had to be admitted to a hospital.

"My team of volunteers engaged in Covid relief work was also not spared by the virus, and unfortunately, two of my local volunteers succumbed to COVID as the virus was at its peak, and consequently we had to temporarily halt the relief work," read the statement.

Rana Ayyub wrote that she had to undergo spine surgery in January 2021, after which the second wave of Covid-19 struck the country and she decided to revive the relief work.

Her statement reads, "I started the relief work again and also started talking to NGOs to set up a medical Covid facility, including to a medical facility introduced to me by Ketto.

"As per Ketto’s procedure, all donors to my campaigns made donations to Ketto’s bank account, which after deducting processing charges, would forward the same for the relief campaign to the designated two bank accounts, who in turn would then transfer the entire amount received from Ketto to my bank account."

Rana Ayyub also stated that no foreign donations were made either to her account or those in the names of her father and sister.

"All the donations were received first in Ketto’s bank account, who would send the amount for the relief campaign to the designated accounts in Indian currency. My instructions to Ketto were that any money received in foreign currency, should be returned back to the donor, and the relief work was carried out with only domestic contributions," she said.

In her statement, Rana Ayyub says she has received several notices from the Income Tax department since June 2021. She writes, "I responded to all queries with detailed answers supported by documents, bills, invoices and bank records.

Rana Ayyub also says she requested the Central Board of Direct Taxes (CBDT) not to tax the donations received for relief work so that the entire amount could be used for relief work.

Her statement adds, "The Income Tax Department, by an Order dt. 07.08.2021, decided to treat the donations as my ’income’ and provisionally attached my father’s bank account, my bank account and a Fixed Deposit which was created towards setting up a field hospital for Covid patients.

"However, after multiple visits to the Income Tax office submitting all documents in substantiation, the authorities decided to de-freeze my bank account and my father’s bank account on 06th September 2021, except for the Fixed Deposit. "

Rana Ayyub says she also paid Rs 1.05 crore as income tax on the amount received as donation for relief work.

"It was also informally communicated to me that if I give up my right to appeal against the order to levy tax on the donations, then the IT authorities would also de-freeze the Fixed Deposit," she wrote in her statement, adding that she has now filed an appeal against the Income Tax department’s decision to view the donations as her ’income’ and impose tax on it.

Stating that her appeal in the Income Tax Appellate Authority is pending, Rana Ayyub wrote that she was informed by the Income Tax authorities in Mumbai on February 7 of this year that her Fixed Deposit (FD) has been released from attachment and that she is now "allowed to operate the same".

Courtesy:India Today