MUMBAI, June 11 -- The Bombay High Court on Monday directed the income tax department not to take any coercive action, including that of prosecution and penalty, against Reliance Group chairman Anil Ambani in an alleged tax evasion case. A division bench of justices BP Colabawalla and Firdosh Pooniwalla admitted Ambani's petition challenging the constitutional validity of provisions of the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act. It also directed the Union government to file its affidavit in response to the petition. In August 2022, the income tax department had issued prosecution notices to Ambani under the Black Money Act for allegedly evading Rs.420 crore in taxes on undisclosed funds of over Rs.814 crore held in two Swiss bank accounts. Ambani subsequently challenged the notices in the high court, claiming that the proceedings against him were based on frivolous and false allegations. He stated that certain provisions of the Black Money Act are unconstitutional because they violate fundamental rights under Article 14 (right to equality before the law) and Article 20 (protection against retroactive criminal laws). The industrialist also challenged the retrospective applicability of the income tax department's notices, arguing that they were invalid because they were issued for transactions that occurred well before 2015, when the Black Money Act was enacted. The transactions in question belong to the assessment years 2006-2007 and 2010-2011. The court noted a tax assessment order against Ambani had already been passed, and he had filed an appeal before the Commissioner of Income Tax (Appeals). It said that the appeal can proceed and orders can be passed thereon. It clarified that no coercive action shall be taken against the industrialist till the hearing concludes. The court noted that similar petitions challenging the provisions of the Black Money Act are also pending before the high court....