Tax officials said this was a survey, not a search
Income Tax officials searched the BBC's Delhi and Mumbai offices on Tuesday and seized phones and laptops, weeks after a massive controversy over the UK national broadcaster's documentary on Prime Minister Narendra Modi and the deadly sectarian riots in Gujarat in 2002.
The taxmen sealed off the offices for a "survey" linked to alleged diversion of profits and irregularities in transfer pricing involving the BBC (British Broadcasting Corporation).
Sources say, the Income Tax authorities are checking account details dating as far back as 2012.
"The Income Tax Authorities are currently at the BBC offices in New Delhi and Mumbai and we are fully cooperating. We hope to have this situation resolved as soon as possible," the BBC tweeted.
Documents were seized and phones and laptops of journalists were taken away. Employees were allowed to leave six hours after the searches began, only after their laptops had been scanned. Visuals showed some employees arguing with the officials.
The officials used the keyword "tax" to search for information on the desktops after asking employees to log in, a BBC journalist told NDTV.
BBC, in a memo to staff, asked those not in office to stay away. It has also asked its staff to avoid commenting on social media on the searches.
Tax officials insisted that this was a survey, not a search, and that the phones would be returned.
"We needed some clarifications and for that our team is visiting BBC office and we are carrying out a survey. Our officers have gone to check account books, these are not searches," Income Tax sources asserted, adding that they asked the BBC's finance department for details of balance sheets and accounts.
The opposition accused the government of targeting the BBC for airing a documentary critical of PM Modi over the riots that swept Gujarat in 2002, when he was Chief Minister. The Editors Guild of India said the raids were part of a wider "trend of using government agencies to intimidate or harass press organisations that are critical of government policies".
The two-part series, "India: The Modi Question", was taken down from public platforms last month. The Centre used emergency powers under IT Rules to block YouTube videos and Twitter posts sharing links to the documentary. The government slammed the documentary as "hostile propaganda and anti-India garbage".
Opposition leaders and students protested against what they called blatant censorship by organising public screenings of the documentary, which led to clashes on campus between students, college authorities and the police.
"Here we are asking for a Joint Parliamentary Committee (JPC) probe into the Adani-Hindenburg row, and there the government is hounding BBC. Vinash Kaale Viprit Buddhi (when one is doomed, one makes wrong decisions)," commented Congress leader Jairam Ramesh.
Trinamool Congress MP Mahua Moitra jibed in a tweet: "Reports of Income Tax raid at BBC's Delhi office. Wow, really? How unexpected."
"When a government stands for fear and oppression instead of fearlessness, then one should realise the end is near," wrote Samajwadi Party leader Akhilesh Yadav in Hindi.
The ruling BJP tore into the BBC for what it called "venomous, shallow and agenda-driven reporting" and said the Income Tax department should be allowed to do its job. "No individual or agency can be above the law. If they are working in India, they need to follow Indian law. If they have not done anything illegal, then what's the worry? Why are the opposition parties defending the agency for cheap and petty politics," said BJP spokesperson Gaurav Bhatia. He also mocked the BBC as "Bhrasht, Bakwas Corporation (Corrupt, nonsensical corporation)".
Last week, the Supreme Court rejected a request for a complete ban on BBC in India over the documentary, calling the petition "entirely misconceived".