CBI had registered a case against the accused on the allegations that Shri Rakesh Jain, the then Income Tax Officer, Ward No. 3(2), Chandigarh had demanded illegal gratification of Rs. 3.5 lakh from the complainant (who was running a business of Real Estate and Liquor) for not initiating any action against him on notices served U/s 142(2) of IT Act, 1961 by Income Tax Department. Later, the bribe amount was reduced to Rs. 2.5 lakh. The accused was arrested while accepting a bribe of Rs. 50,000/- as of 1st installment of the total bribe amount.
The Trial Court found the accused guilty and convicted him.