Probe charges if there is prima facie evidence: Dattatreya Hosabale on Jay Shah

On Sunday, a private online news portal reported that the turnover of Temple Enterprise Private Ltd, a company owned by Jay Shah, grew from Rs 50,000 in March 2015 to Rs 80.5 crore in 2015-16, a year.

Written by Milind Ghatwai | Bhopal | Updated: October 13, 2017 5:47 am
jay shah, Amit shah, the wire, jay shah hearing, amit shah son, jay shah defamation case, turnover of Temple Enterprise, jay shah Temple Enterprise, jay shah company turnover, india news, indian express news Dattatreya Hosabale and Manmohan Vaidya in Bhopal on Thursday. (Photo: PTI)

IN ITS first reaction to reports that the turnover of a company owned by Jay Shah, son of BJP chief Amit Shah, grew exponentially after the party came to power at the Centre, the RSS said on Thursday that the allegations can be probed after it is established that there is prima facie evidence of wrongdoing.

“Kissi bhi bhrastachar ke aarop me jo awashyak inquiry hoti hai, wo ho; us hisab se karyawahi jo hoti hai, wo ho (whenever there is an allegation of corruption, the required inquiry should be conducted; accordingly, whatever action is required should be taken),’’ said senior RSS functionary Dattatreya Hosabale, responding to a question on the organisation’s stand on the issue.

The RSS joint general secretary, however, added: “Aur aarop prima facie siddha hone ke baad hi kar sakte hai (and only after there is prima facie evidence of the charges can an inquiry be initiated).” Asked if he felt there was prima facie evidence, Hosabale said it was up to those levelling the charges to prove the allegations.

Hosabale was briefing reporters on the three-day All India Karyakari Mandal meeting that began here on Thursday.

On Sunday, online news portal The Wire reported that the turnover of Temple Enterprise Private Ltd, a company owned by Jay Shah, grew from Rs 50,000 in March 2015 to Rs 80.5 crore in 2015-16, a year in which it got access to unsecured loan of Rs 15.78 crore from financial services firm KIFS.

The report also talked about Shah’s other company Kusum Finserve, a limited liability partnership, incorporated in July 2015. It said Kusum Finserve got inter-corporate deposits from KIFS Financial worth Rs 2.6 crore in FY 2014-15, and an unsecured loan of Rs 4.9 crore.

It highlighted a Rs 25 crore loan taken by Kusum Finserve from Kalupur Commercial Cooperative Bank, and asked how this loan was raised against collaterals valued at Rs 7 crore. The report also spoke about the LLP availing a Rs 10.35 crore loan from a public sector enterprise, Indian Renewable Energy Development Agency (IREDA).

In response, Jay Shah’s lawyer wrote to The Wire, “Jay Shah, Jitendra Shah and their associates invested share capital and unsecured loans in this company (Temple Enterprise). Since working capital facilities were not available to a new business/company, interest bearing Inter Corporate Deposits (ICD) were taken from time to time from KIFS Financial Services Ltd., a registered NBFC, to run this business. Tax has been deducted on the interest paid (TDS) regularly and the principal and interest amount has been repaid in full.”

While the report questioned the sharp rise in turnover of Temple Enterprise in 2015-16, Shah’s lawyer said the company is in the business of import and export of agri commodities like rapeseed DOC, castor DOC meal, desi chana, soyabean, coriander seeds, rice, wheat, maize etc. A turnover of Rs 80 crore in the commodity business is not “abnormally high”, he said.

Meanwhile, Hosabale today said RSS workers were facing attacks not only in Kerala, but in Karnataka, Telangana, Andhra Pradesh and the Northeast too. “Their own people are getting attracted to RSS. They have lost ideologically and are resorting to physical attacks. Those who talk about world peace are resorting to violence in their own home,’’ he said.

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  1. P
    PN badri
    Oct 13, 2017 at 1:39 pm
    This financial irregularities case will not see the light of the day like infamous Gujarat snoop gate episode.
    1. S
      S. Shekhar
      Oct 13, 2017 at 12:33 pm
      The funniest part of the whole episode is that leveling of corruption charges on the powers that be is a criminal offence. Tolerate whatever the powers that be without questioning the propriety of their acts. This is nothing short of the path the country is being pushed to - authoritarian rule.
      1. V
        Oct 13, 2017 at 12:13 pm
        Nobody can win a debate with BJP and / or RSS. Pl do not debate this issue. Put the facts in public domain. Let public decide and judiciary suo motto start the proceedings.
        1. shiva Nilalohita
          Oct 13, 2017 at 12:37 pm
          How public can decide? Can public decide about Talwar's case? I believe you are from north India. Then you should understand one thing. Thewire is managed by a Tamilian Siddharth Varadarajan. It is like a tamil media employing a north Indian Rashmi Singh to work against politicians from north Indian. Have you ever read any article from siddarth varadarajan against any corrupt tamilian? These guys earn their living sitting in north Indian and works against north Indian politicians. This is the first time a govt is formed at the center with out the support of Tamil politicians. North Indians should support BJP and work for the development of north India. Do not support any party or individual or community who works against the interest of north Indians. You can share this message to all your fellow north Indian brothers and sisters.
          1. shiva Nilalohita
            Oct 13, 2017 at 12:42 pm
            correction: It was not Rashmi singh. It was Rohini singh.