The government’s preliminary inquiry has found several financial and managerial irregularities in the documents filed by Nagpur-based Purti Group, belonging to the BJP president Nitin Gadkari and his family.
Following the submission of a “discreet inquiry report” by the Mumbai unit of the registrar of companies (RoC), the corporate affairs ministry on Thursday sought “mandatory explanation” under the companies act from firms owned by the Gadkari family in two weeks, HT has learnt.
The RoC while reviewing documents filed by Purti Group found glaring discrepancies and even violations of law.
“Prime facie irregularities have been found in the documents filed with the RoC and section 234 (1) of the companies act has been invoked on the concerned companies to furnish relevant documents and provide a mandatory explanation within two weeks,” a highly placed source in the government said.
The ministry is also contemplating whether it should appoint inspectors for investigation of affairs of these companies, but it is likely to wait for the explanation to be offered by Gadkari’s companies.
The corporate affairs ministry had swung into action after Arvind Kejriwal’s IAC and media reports alleged that Gadkari favoured a road construction company as Maharashtra’s PWD minister, which later helped him set up Purti Group in 2001. A series of irregularities in Gadkari’s businesses then surfaced that showed that some companies shown on paper as having invested in Purti Group didn’t exist.
Five such companies — Nivita Trades, Swiftsol, Rigma Fintrade, Ashwami Sales and Marketing and Earnwell Traders — are shown as registered at Dube Chawl, a slum in Mumbai's Andheri East.
At least two dozen other companies, many with unverifiable addresses, have Gadkari’s driver and astrologer among their directors on paper.