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ED files PMLA case against Karti Chidambaram, INX Media

It will follow a case of corruption filed by CBI on Monday against Karti and the INX group

By: Express Web Desk | New Delhi | Published: May 19, 2017 12:07 pm
Karti Chidambaram, Karti Chidambaram raid, chidambaram ED case, Enforcement Directorate, INX Media, INX Media case, money laundering, indian express news, india news P Chidambaram’s son, Karti Chidambaram. (File Photo)

The Enforcement Directorate (ED) on Friday registered a case of money laundering against Karti Chidambaram and INX Media in connection with alleged irregularities in the grant of FIPB approval to the company to get foreign direct investment.

The case filed by ED was under sections of the Prevention of Money Laundering Act (PMLA). It will follow a case of corruption filed by CBI on Monday against Karti and the INX group. Such a case will also open doors for ED to possibly attach assets in the case.

Notably, CBI had registered the case against Karti and INX Media on ED’s reference. The ED is already investigating a company associated with Karti in connection with the Aircel Maxis deal and FDI inflow into Vasan Healthcare. With relation to the INX Media FDI inflow, it had found documents during searches that showed Advantage Strategic Consulting, a company that CBI claimed is indirectly controlled by Karti, was paid Rs 10 lakh as consultancy fees to help it get FIPB approval in 2008. Karti’s father P Chidambaram was then Finance Minister.

The CBI on Tuesday conducted raids at premises linked to Karti and the residence of Peter Mukerjea and Indrani Mukerjea among 14 locations spread across Mumbai, Chennai and Delhi NCR in connection with the case.

The CBI FIR alleged that INX’s FDI inflow had been initially flagged by FIPB for irregularities and it had sought clarification from the media house. However, after it roped in a company owned by Karti Chidambaram for consultancy, its fresh proposal was approved by FIPB “by virtue of influence exercised over them by Karti P Chidambaram”, the CBI FIR says.

By doing this, the CBI has alleged that the officials “not only ignored the serious illegality on the part of M/S INX Media… but also embarked on showing undue favour to INX Group by abusing their official position”.

In return of the services, CBI has alleged, Karti Chidambaram got a payment of Rs 10 lakh through Advantage Strategic Consulting, “which was controlled by him (Karti) indirectly”. It has also alleged that it found invoices for Rs 3.5 crore in favour of INX Media raised by companies in which Karti has “sustainable interest” and “where there are common directors”.

Denying any wrongdoing, Karti Chidambaram said yesterday: “I am being targeted politically and personally to besmirch the name of my father. They have not seized any documents and cannot prove any charges against me. I have not done anything wrong.”

Reacting to the raids, P Chidambaram, had said: “The government’s aim is to silence my voice and stop me from writing, as it has tried to do in the cases of leaders of opposition parties, journalists, columnists, NGOs and civil society organisations. All I will say is I shall continue to speak and write.”

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  1. B
    May 19, 2017 at 10:35 pm
    How come that huge ets of Chidambaram's son have been discovered and are being reported by others and not here. See the news item below. "A report allegedly of the Income Tax’s Chennai Investigation Unit having more than 200 pages about former Finance Minister P Chidambaram’s family and especially son Karti and his companies’ huge ets in more than 14 countries is going viral on social media. Recently, some portion of the sensitive report was exposed in public by Bharatiya Janata Party (BJP) MP Subramanian Swamy in a press conference. The report, as per sources, focuses on the ets and bank accounts found in the joint raid of Income Tax and Enforcement Directorate."
    1. T
      May 19, 2017 at 5:45 pm
      news is Karti is in London to seek counsel of Vijay Mallya and Lalit Modi who in turn are like to get deal brokered with their patrons in Feku56 Govt and Karti
      1. R
        May 19, 2017 at 5:30 pm
        BJP is setting the norms of witch hunt for the future governments. They have to watch out for the force with which they go after so called corrupt politicians. The counter-force will be, rest ured, double or in the multiples when they will be on the receiving end. Rest ured.
        1. D
          dr ca failed
          May 19, 2017 at 4:06 pm
          rogue chidhu must be punsihed and made to work in coal mines. maran's must be punished too
          1. D
            dr ca failed
            May 19, 2017 at 4:05 pm
            i hope for a quick resolution and punishment . hope this does not drag for 20 years like jayalalitha dis-asset case. ideal punishment for traitors likechidhu, karti,maran would be 10 years jail time and then they be made to clean the sewage lines and various s of the state.
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