Trouble for Madhya Pradesh CM Kamal Nath as Election Commission recommends CBI inquiry on his associates
The report for the CBI inquiry consist of transactions located from diaries, computers and from WhatsApp chats of five persons covered in the search operations, two of whom were posted as OSDs (Officers on Special Duty) with CM Kamal Nath.
Trouble seems to mounting for Madhya Pradesh Chief Minister Kamal Nath as the Election Commission has recommended an inquiry by the Central Bureau of Investigation in the alleged unaccounted cash and illegal transportation of money before the general election. India Today TV has learnt that the Election Commission's Department of Personnel and Training (DoPT) has sent a request to the CBI.
The EC’s report for the CBI inquiry includes the diaries and receipts of alleged unaccounted money transfer, chat records and invoices which indicate money was being collected and transferred from Madhya Pradesh.
The Delhi unit of the Directorate General of Income-tax (Investigation) had initiated search and seizure action on a group in NCR, Bhopal, Indore and Goa based upon credible information of large scale collection, possession and movement of unaccounted assets, a few weeks back.
According to CBDT, the search unearthed a maze of shell companies used as mere conduits for providing entries to the group. Accommodation entries in the garb of bogus unsecured loans/share application money to the tune of Rs 370 crore were found. Bogus billing of Rs 330 crore was also detected. The money siphoned off was collected in USD through hawala operators.
Apart from this, the CBDT also investigated unaccounted diary transactions of Rs 240 crore. The amount was seized from one of the group's offices. CBDT claimed that the entries therein have been admitted by the persons concerned. Further, evidence was found by the agency indicating that the group grossly over-invoiced its imports from original manufacturers by re-invoicing it through a shell company of a person who is an accused in a major defence scam. The surplus created was ploughed back in the books as FDI through another shell company of the same person.
The CBDT had conducted search operation on the basis of credible information which led to detection of large scale tax evasion of more than Rs 1350 crore.
The report for the CBI inquiry consist of transactions located from diaries, computers and from WhatsApp chats of five persons covered in the search operations, two of whom were posted as OSDs (Officers on Special Duty) with CM Kamal Nath.
On April 7, the Income Tax department conducted searches at the residential and official premises of Kamal Nath associates in 52 places. The searches were conducted at the houses of Madhya Pradesh Chief Minister Kamal Nath's nephew Ratul Puri and close aides Praveen Kakkar and RK Miglani in Indore and Delhi respectively in connection with an alleged illegal transaction case.
Sources say, on Thursday night, CBDT again opened the locker of Miglani. Bt it is unclear if the investigating agency found anything. India Today TV has learnt that it’s part of process and searches were stopped due to general elections.
Ratul Puri is already under scanner of probe agencies for allegedly receiving kickbacks in AgustaWestland deal through his companies. Ratul Puri, has been grilled by the Enforcement Directorate at several occasions.
The probe agency believes that accounts, associated to firms of Ratul Puri, were used to receive kickbacks and launder money in AgustaWestland case. The kickbacks were allegedly received by the firms controlled by another accused Rajiv Saxena.
If CBI registers case in this matter, trouble may mount for Kamal Nath.