AIRCEL-MAXIS SCAM: ED SUMMONS KARTI’S FRIENDS
Tuesday, 25 August 2015 | Pioneer News Service | New Delhi
Former Finance Minister P Chidambaram’s son, Karti Chidambaram, may soon face the music in the Aircel-Maxis scam. The Enforcement Directorate (ED) on Monday issued summons to two Directors of Advantage Strategic Consulting Private Limited, a company linked to Karti. This company had a financial transaction of Rs 26,00,444 with Aircel in early 2006, when Malaysian company Maxis’ proposal to acquire the majority stake in Aircel was pending with Chidambaram.
Advantage Strategic Consulting Private Limited was later taken over by a company owned by Karti. The two persons summoned are Karti’s close friends. One of them, CBN Reddy, is a director of several companies controlled by Karti. Another person, Ravi Viswanthan, is the first promoter of Advantage.
The ED asked these two people to appear before its team in Delhi probing the Aircel-Maxis scam. They have been directed to appear within 14 days of receiving notice and sought to bring all the bank data, Income-Tax Returns and foreign travel details from 2005 onwards. Reddy was also the director of another company called Kriya FMCG, first promoted by Karti’s wife, Srinidhi.
Chidambaram’s name was dragged into the Aircel-Maxis scam after the expose that there was a flow of Rs 26,00444 to Aircel by Advantage Strategic Consulting. This amount was alleged to be an investment made by Karti’s company in Aircel to acquire its shares which could be later offloaded at a premium when the FIBP clearance was permitted by Chidambaram.
This deal was exposed by BJP leader Subramanian Swamy in April 2012. However, replying to the allegations, Chidambaram said in Parliament that this money was transferred for a consultancy-related issue.
This controversial payment was shown as ‘Loans and Advances’ from Karti linked company to Aircel, when the latter’s application was pending before the FIPB. During the same period, the Advantage’s balance-sheet also showed similar payments to other Karti-controlled companies like Chess Management Services Private Limited, Chess Health Care Solution Private Limited, and Halidon Marketing Private Limited. Moreover, another Karti-controlled company Ausbridge Holdings and the controversial Advantage Strategic Consulting shared the same e-mail id in 2006. Later in 2010, Ausbridge, where Karti held 94 per cent shares, took over major share holding in Advantage Strategic Consulting.
http://www.dailypioneer.com/todays-newspaper/aircel-maxis-scam-ed-summons-kartis-friends.html