Where Is Chidambaram, Wanted In INX Case? The Story So Far

The CBI went knocking on the doors of the former finance minister and senior Congress leader P Chidambaram after the Delhi high Court rejected his anticipatory bail petition. The CBI wanted to arrest him in cases of corruption and money laundering in the infamous INX media scam.

So, what's the INX media case all about?

In May 2017, the Central Bureau of Investigation registered an FIR alleging irregularities in the Foreign Investment Promotion Board clearance accorded to the INX group for receiving overseas funds of Rs 305 crore in 2007. The then Union Finance Minister at the time was P Chidambaram. The Enforcement Directorate filed a case of money laundering and also called Chidambaram for interrogation. The former finance minister then moved the Delhi high court seeking anticipatory bail in both the cases earlier this year.

So, when did the trouble begin?

It all started in January 2008 when the Financial Intelligence Unit of the finance ministry flagged Foreign Direct Investment of over Rs 305 crore by three Mauritius-based companies in INX Media Pvt Ltd. The company was formerly owned by Indrani and Peeter Mukerjea. Later the Income Tax department in Mumbai sent the case to the ED. It was then that the ED filed a FEMA violation case against the INX Media. This was in 2010.

Now, talking about Chidarambaram, didn't we hear that his son Karti Chidambaram too was involved in some way? The answer is a big YES. Let me give you some details on that.

A few years after the ED filed a case, they found documents related to INX media in Karti's CA Bhaskar Raman's computer while investigating a company associated with Chidambaram's son. The documents discovered by the ED showed payments made by INX Media to Karti's alleged company. This was when the finance ministry had granted FIBP approval.

In May 2017, the CBI registered a case of corruption and searched properties of both Karti and Chidambaram. After this, the ED lodged a case of money laundering against Karti too. Interestingly, Karti who was granted bail by the Delhi High Court after being arrested by CBI last year is now a Congress MP from Sivaganga!

The CBI has alleged that INX Media violated the conditional approval of FIPB, and brought in over Rs 305 crore of FDI in the firm against the approved inflow of Rs 4.62 crore.

When did Chidambaram get into trouble?

CBI has alleged that on May 26, 2008, when FIPB sought clarification from INX Media after the I-T Department began its investigation, the media firm engaged Karti Chidambaram, the promoter director of Chess Management Service (P) Ltd, to amicably resolve the issue by influencing the public servants of the FIPB unit of Ministry of Finance by virtue of his relationship with the then Finance Minister, P Chidambaram.

The CBI further stated that FIPB, instead of investigating the case, extended undue favours to the media firm by asking INX News to apply for fresh FIPB approval on the downstream investment that it had already received.

What happens now?

In a late night development, the CBI slapped a notice to the former finance minister and asked him to appear before the investigation officer within two hours after they did not find him at his residence.

A few minutes ago, Chidambaram's legal team requested the CBI not to take any coercive action against Chidambaram till SC hearing of his petition.

Also Read: Chidambaram Case: Legal Team Urges CBI Against Coercive Action Till SC Hearing

Also Read: How Chidambaram Got Into Trouble In INX Media Case: A Timeline Of Events