Aircel-Maxis deal: ED questions Karti Chidambaram

New Delhi :The Enforcement Directorate (ED) on Tuesday questioned Karti Chidambaram, son of Congress leader P. Chidambaram, for allegedly receiving kickbacks for getting FIPB clearance in the Aircel-Maxis deal when his father was the Finance Minister in 2006.

The junior Chidambaram was questioned at the Directorate's headquarters here over the alleged money laundering through his firms in the Aircel-Maxis tie-up. 

During its investigation, the ED has so far found that Advantage Strategic Consulting Private Ltd promoted by Karti and A. Palaniappan, nephew of Chidambaram, allegedly received two lakh dollars from Maxis Group in the guise of software consultancy.

The ED is probing financial irregularities committed as per the Prevention of Money Laundering Act in the case, which is also being investigated by the Central Bureau of Investigation (CBI). 

Both agencies are trying to find out how Karti allegedly managed to get a clearance from the Foreign Investment Promotion Board (FIPB) in the Aircel-Maxis deal. 

The ED in September last year had also attached Rs 1.16-crore assets belonging Karti in connection with the case. A special court here on March 24 granted him interim protection from arrest, till April 16.

According to the CBI chargesheet submitted in the special court, Mauritius-based Global Communication Services Holdings Ltd., a subsidiary of Maxis, had sought approval for an investment of $800 million in Aircel.

Though it was the Cabinet Committee on Economic Affairs (CCEA), headed by then Prime Minister Manmohan Singh, which was competent to grant the approval, it was cleared by then Finance Minister P. Chidambaram on his own and the amount for FIPB clearance was wrongly projected to conceal the facts.