The Supreme Court on Monday permitted Congress Member of Parliament Karti Chidambaram to travel to Germany, United Kingdom and France between March and June on an undertaking to deposit a sum of ₹two crore and to fully cooperate in the probe against him by the Enforcement Directorate in the INX Media case and Aircel-Maxis case.
“Any absence of full cooperation on the dates of the investigation will be viewed very seriously by the Court and appropriate orders will be passed, if required,” ordered a bench of Justices Ashok Bhushan and RS Reddy as it allowed the application moved by former Finance Minister P Chidambaram’s son to visit three countries between March 1 and June 23, 2021.
The Court directed the Congress MP from Sivaganga, Tamil Nadu to file an undertaking in the apex court within three days failing which he shall not be allowed to go abroad. The undertaking shall include the flight details, full itinerary of his visit, places of residence in foreign countries, and date of arrival in India. On serving a copy of the undertaking to the office of the Solicitor General Tushar Mehta, the ED will release Chidambaram’s passport, and the same shall be surrendered upon his return, the Court said.
The Solicitor General appeared along with Additional Solicitor General (ASG) SV Raju for the ED and informed the Court that the applicant is being probed for alleged money laundering charges in connection with the Aircel Maxis case registered in 2012 and the INX Media case registered in 2017. According to ED, companies linked to Karti Chidambaram received alleged kickbacks from companies that benefited from the Foreign Investment Promotion Board (FIPB) clearance given to them at a time when his father, P Chidambaram was the Union finance minister.
{{/usCountry}}The Solicitor General appeared along with Additional Solicitor General (ASG) SV Raju for the ED and informed the Court that the applicant is being probed for alleged money laundering charges in connection with the Aircel Maxis case registered in 2012 and the INX Media case registered in 2017. According to ED, companies linked to Karti Chidambaram received alleged kickbacks from companies that benefited from the Foreign Investment Promotion Board (FIPB) clearance given to them at a time when his father, P Chidambaram was the Union finance minister.
{{/usCountry}}The law officers informed the Court that Karti Chidambaram was required to cooperate with the probe in the two cases and his request to travel abroad should not affect the ongoing probe. ASG Raju urged the Court to direct Chidambaram to deposit ₹10 crore as security with the Court.
Senior advocate Kapil Sibal objected saying that his client was a Member of Parliament who has been extended this facility in the past. “I am a Member of Parliament. Will I run away?” Sibal asked.
The Solicitor General remarked that in the past, there has been an instance of a MP running away, possibly referring to liquor baron Vijay Mallya, who flew out of the country while being a Member of Parliament and hasn’t returned yet. Mallya has since been declared a fugitive economic offender at the request of ED, probing cases against him.
The top court directed Karti Chidamabaram to deposit ₹2 crore as security to the court’s secretary general which would be returned on his return. The money was directed to be kept in an interest bearing account of a nationalized bank for a period of six months.
The court also prohibited Karti from opening or closing any bank account overseas or entering into any kind of property transaction during his stay abroad.
He was directed to appear before the investigating authorities in connection with the two cases pending against him on such dates as fixed by the Enforcement Directorate (excluding the travelling period), the bench ordered.
Karti Chidambaram was last allowed to travel to multiple countries in February 2020 to attend tennis tournaments on a condition that he deposits ₹10 crore as security. He made similar trips abroad in the past years on deposit of ₹10 crore each time with the Supreme Court.
In the INX Media case, the ED is probing Karti’s alleged role in obtaining FIPB clearance in 2007 to the tune of ₹305 crore for the company. According to the prosecution, INX Media engaged firms linked with Karti as strategic consultants to swing the deal in their favour and Karti’s firms received alleged kickbacks in the process. In the Aircel-Maxis case too, the ED is probing Karti's role in facilitating FIPB clearance to Global Communication Holding Services Limited for investment in telecom firm Aircel in 2006. The two transactions took place during the tenure of his father as the finance minister.