Disappointed on the hike in VAT rates, members of Indian Industries Association (IIA) held a demonstration in which over sixty of them were arrested by the police on Monday. However they were set free after three hours.

Annoyed with the State’s decision and henceforth demand to have VAT at par with the other states, the industrialists had earlier proposed to have a car rally which was supposed to end at Patel Park after which they wanted to have a dharna but the administration did not give its approval for the same. On Monday about 250 cars were parked at Moti Mahal but on the car rally’s disapproval, the industrialists resorted to march through the market. On this the police got enraged and arrested them.

On this, D S Verma, Executive Director IIA said that “The industrial associations have been putting forward their demands in a peaceful manner. But seeing no response by the Government after so many days, we had to resort to a public demonstration.” Disappointed with the Police action he said UP will be the first state in India where industrialists are arrested. Adding on this he said “We wanted to request the CM to withdraw the hike on VAT and to reduce the entry tax as it obstructs the industrial growth of the state.” 

Chairman of IIA-Lucknow Chapter Rajat Mehra, senior vice president Anil Gupta, general secretary Mukesh Tandon and two former presidents Ganesh Chaturvedi and VK Agarwal were also among those arrested. However, they were released after they signed a bond which said that they will not pose any problem that threatens law and order in the state.