New Delhi: NewsClick is unable to make bank payments since Monday (December 18) evening due to action by the Union income tax department, it said in a statement on Tuesday.The online news outlet said the action had “virtually frozen” its bank accounts and rendered it unable to pay employees and consultants for work they have done so far in December.Calling the move a seeming continuation of its “administrative-legal siege” by the government – which it said started in 2021 and included the confiscation of its contributors’ devices earlier this year – NewsClick said its employees now faced an uncertain future.“Coming at the year-end festive season, this sudden action has left all our employees shocked. Since there is no indication of when our accounts will become accessible, there is uncertainty in the minds of all employees and their families, especially those who are completely dependent on salaries from NewsClick,” it said.Its statement added that it had not violated any laws, including tax regulations. “The claims levelled by the income tax department are without any basis.”“Legal appeals against this unjust and cruel measure will be initiated at the earliest” following a review of Monday’s developments, the statement also said.The portal’s founder Prabir Purkayastha and its HR head Amit Chakraborty are in jail since October 3 after being arrested by the Delhi police – an arm of the Union government – under the Unlawful Activities (Prevention) Act, a draconian anti-terror law.The Delhi police’s special cell also confiscated the devices of NewsClick staff and contributors.Its FIR against Purkayastha and NewsClick alleges, among other things, that the portal used a “large amount” of Chinese funding to publish “paid news” criticising Indian government policies and promoting those of the Chinese.It is believed that the FIR has its roots in a New York Times report published in August, which BJP MP Nishikant Dubey cited in the Lok Sabha to claim that Congress leaders and NewsClick had received funds from China to create an “anti-India” atmosphere.NewsClick has denied the allegations.A day after the raids, NewsClick said that its offices had been searched and the devices of its employees seized by government agencies including the income tax department since 2021, but the government had been unable to build a case against it.Its full statement from December 19 is reproduced below.§As of the evening of December 18, NewsClick has been unable to make any bank payments due to action by the Income Tax Department.This action, which has virtually frozen our accounts, appears to be a continuation of the administrative-legal siege of the news portal which began with the Enforcement Directorate (ED) raids in February 2021, followed by an IT department survey in September 2021, and the October 3, 2023 crackdown by the Delhi Police Special Cell. NewsClick founder Prabir Purkayastha and administrative officer Amit Chakraborty, arrested on that day, continue to languish in jail.NewsClick has always complied with the laws of the land, including all tax regulations. The claims levelled by the Income Tax Department are without any basis.Also, NewsClick did not receive any intimation of the freezing of accounts, and the staff discovered it by chance while trying to make routine payments last evening. As a result of this high-handed action, salaries of all employees — journalists, videographers, and administrative and support staff — and consultants and contributors cannot be paid, including for the 19 days of December they have already worked.Coming at the year-end festive season, this sudden action has left all our employees shocked. Since there is no indication of when our accounts will become accessible, there is uncertainty in the minds of all employees and their families, especially those who are completely dependent on salaries from NewsClick.NewsClick and its legal counsel are reviewing the developments. Subsequently, legal appeals against this unjust and cruel measure will be initiated at the earliest.NewsClick and its courageous journalists remain committed to continuing their work for as long as possible. As always, we appeal for continued solidarity, which has been a source of support and encouragement to us.