Will act against IPL franchisees if violations found: Khurshid
Corporate Affairs Minister Salman Khurshid on Wednesday said action would be taken against owners of the Indian Premier League (IPL) franchises if they were found violating the disclosure norms laid down under the Companies Act.delhi Updated: Apr 21, 2010 18:11 IST
Corporate Affairs Minister Salman Khurshid on Wednesday said action would be taken against owners of the Indian Premier League (IPL) franchises if they were found violating the disclosure norms laid down under the Companies Act.
"Equity structure looks hazy because no one has asked anyone to disclose anything. We have the filings. In fact, it is available to public on MCA 21 (website). One can pay for it and browse through it," said Khurshid.
"There is a general feeling it's hazy, it may or may not be. If its found to be hazy we will investigate. Currently, there are competent people investigating it," he said on the sidelines of a seminar on corporate accountability organised by an industry lobby.
The IPL is embroiled in a controversy over unclear share holding patterns and source of funding. Its chief Lalit Modi is being investigated by a number of agencies under the finance ministry.
Modi had sparked off the controversy by publicly disclosing that the identities of owners of the Kochi franchise were not clear.
Talking to reporters, Khurshid said the investigations were being carried out by the finance ministry agencies and that the corporate affairs ministry would step in only if required.
"Let the finance ministry arrive at prima facie conclusions, if they feel there is a corporate law aspect involved then we will come in the picture. We are doing our due diligence with whatever records are available to us," the minister said.
"Corporate laws have nothing to do with IPL, it will be applied only when franchisees are found to violate any corporate law. If they refer something to us, we will do what we are required to do," said Khurshid.