Notices to Chidambaram’s son Karti for alleged forex violations
NEW DELHI: The Enforcement Directorate (ED) on Monday sent show-cause notices to Karti Chidambaram, the son of former finance minister P Chidambaram, the directors of a Chennai-based private healthcare firm, and some overseas investors, in connection with its probe into alleged forex violations.
According to the directorate, investments received by Chennai-based Vasan Health Care Pvt Limited (VHCPL) between February 2009 and November 2014 from Mauritius-based Sequoia and WestBridge and Government Investment Corporation in Singapore are under the scanner for violating multiple norms under the Foreign Exchange Management Act (FEMA).
The ED also claimed there were multiple contraventions in the sale transaction of shares of VHCPL that were bought by overseas investors. The notices have been issued to directors and promoters of the firm to explain the contraventions, which the ED claims are to the tune of ₹2,262 crore. The agency said there were more contraventions to the tune of ₹45 crore committed by Advantage Strategic Consulting Private Limited (ASCPL) during the sale of VHCPL shares.
The private firm’s activities, ED said, appeared to be allegedly “controlled” by Karti and is one of the existing VHCPL shareholders. The ED added, “A show cause notice has been issued to Vasan Health Care Private Limited, its promoter director Arun Arunachalam Murugiah, his wife Meera Arun and father-inlaw Dwarakanathan for the alleged contraventions.”
Karti told HT his lawyer would reply if and when he got the notice. He is travelling outside the country and is expected back later next week. “I have not yet got the notice and when I do, my lawyer will reply,” he said. P Chidambaram said, “By targeting Karti Chidambaram with baseless notices, the government cannot silence my voice or stop my writing. .”