MUMBAI,  21 AUGUST,  2019 (GPN) : Teams of the Central Bureau of Investigation and Enforcement Directorate reached the Delhi residence of former Finance Minister P Chidambaram and arrested him on Wednesday night in connection with the INX media case.A 2008 deal case which threatens to put him and his son Karti Chidambaram behind bars.

This came immediately after the Congress leader addressed a press conference from the party’s headquarters in New Delhi.

The Delhi High Court on Tuesday had rejected the leader’s anticipatory bail plea, after which he immediately moved the Supreme Court. The top court, however, listed his appeal for Friday.

The man who once held the portfolios of home and finance ministry will spend the night at the CBI lockup after he evaded arrest for 24 hours.

Even as the Chidambarams have claimed that there is no connection between them and shell companies which received the alleged kickback money for undue Foreign Investment Promotion Board clearance to INX Media, the Delhi high court has termed the former minster as the kingpin of the scam.

The Delhi HC said this while quashing P Chidambaram’s anticipatory bails in the case, leading to a high-octane drama spanning over 24 hours.

Since Tuesday night, the nation witnessed a game of cat and mouse as both the CBI and the Enforcement Directorate attempted and failed to arrest P Chidambaram even as his lawyers claimed that he was at their office. P Chidambaram was finally arrested from his residence on Wednesday night after his counsels failed to get an urgent hearing in the SC seeking a stay of HC order.

What is the case against P. Chidambaram?

P Chidambaram is accused of helping INX Media founders evade justice after they violated foreign investment laws. In 2007, the INX media allegedly received foreign funding of Rs 305 crore even as they had permission to source only Rs 4.62 crore in the form of shares. When the financial intelligence unit knocked on the door in 2008, the INX Media founders allegedly employed a firm owned by Karti Chidambaram to sort the matter out.

The CBI alleges that instead of ordering an investigation into the case, the Foreign Investment Promotion Board – under P Chidambaram issued INX Media a fresh approval for the foreign funds already received.

The probe agency claims that the kickbacks were routed through shell companies linked with Karti Chidambaram.

Timeline of INX Media case

May 15, 2017: The CBI files FIR, alleging irregularities in FIPB clearance to INX Media for receiving overseas funds.

February 28, 2018: Karti Chidambaram arrested. He spends 23 days in jail and goes through several rounds of interrogation.

March, 2018: INX Media promoter Indrani Mukerjea tells the CBI that a deal of $1 million was struck between Karti Chidambaram and the Mukerjeas to secure approval from the FIPB in favour of INX Media.

July 11, 2019: Indrani Mukerjea turns approver in the case

August 20, 2019: Delhi HC rejects bail applications of P Chidambaram, resulting in a two-day-long cat and mouse game between P Chidambaram and probe agencies.

Probe agencies claim that P Chidambaram evaded the law for over 24 hours, but the ex-UPA minister claims that he had no obligation to appear before them. When the Delhi HC delivered the judgement quashing his anticipatory bails, P Chidambaram was at the Supreme Court with some junior lawyers. Soon after, he applied for an urgent hearing seeking an order against the HC judgement.

When the SC refused, Chidambaram claims, he went to work on his case at his lawyer Abhishek Manu Singhvi’s office. Chidambaram told media at a press conference later on Wednesday evening that he had been with his lawyers throughout the day as they tried to get him a hearing in front of the SC. Meanwhile, the CBI and ED made several rounds of his house to arrest him. The CBI even posted a notice for him to appear within 24 hours outside his house around midnight. two lookout circulars were issued in his name by Wednesday evening.

P Chidambaram surfaced after 24 hours at the Congress headquarters to address a brief press conference and soon left for his residence, where CBI arrested him.

When our team contacted the accused
In his defence, P Chidambaram claimed that he or anyone in his family was not accused of any offence. He told media that the ED or the CBI had not filed any chargesheet or FIR against them.

Sources close to P Chidambaram earlier told India Today TV that the companies involved in the INX media cases were not linked to either P Chidambaram or his son. They claimed that there was no money trail linking the ex-UPA minister to the alleged kickbacks.

Even as P Chidambaram managed to get relief from arrest for at least 20 times in the past, the Delhi HC took a strong stand against extending the same courtesy this time around. The high court said that the quantum of the crime did not justify the anticipatory bail even if the person in question was a former Union minister.

Judge Sunil Gaur said that the twin facts which have weighed to deny pre-arrest bail to Chidambaram are “gravity” of the offence and “evasive” replies given by him to questions put to him while he was under protective cover extended to him by the court.

Holding that Chidambaram’s custodial interrogation was required for an effective investigation, the court said: “simply because he is a Member of Parliament would not justify the grant of pre-arrest bail to him.” Chidambaram is a Rajya Sabha MP.

Justice Sunil Gaur, while delivering the judgment, said that P Chidambaram seems to be the “kingpin” and “key conspirator” in the INX media case. “Facts of the case prima facie reveal that petitioner (Chidambaram) is the kingpin, that is, the key conspirator in this case,” the judge said.

The court said that it cannot conclude that scam pertains to an amount below Rs 30 lakh, as claimed by the defence. Rather money laundering involved in this INX Media scam is Rs 305 crore, the court said.

The court observed that the economic crimes of such “mammoth scale are craftily planned and executed”.

INX media received its FIPB clearance during P Chidambaram’s tenure as the finance minister in the UPA-I government.

The Supreme Court has listed hearing for P Chidambaram’s petition seeking protection from arrest on Friday. However, since the Congress leader was arrested on Wednesday, the fate of the hearing is unknown.

Chidambaram had tried to get his matter listed on Tuesday and Wednesday but the SC refused him an urgent hearing.ENDS