INX MEDIA CASE EXPLAINED!

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A 74 year old Member of Parliament in Tihar jail for more than 3 months is sure to catch our attention.
P.Chidambaram recently accused the centre for trying to shake his mental strength by imprisoning him in relation to the INX media case.

INX media is a television broadcasting company with 6 music channels. It is owned by Indrani and her husband Peter Mukerjee.
Generally companies are supposed to get permission from the FIPB to accept foreign direct investments and other major financial transactions from abroad.

On 2007, the INX got permission to accept money of Rs.4.62 crores from three Mauritius based sources through the FDI route. But then, they violated the FIPB rules and over Rs.305 crores were flown into India by issuing shares at a very high premium. Also they made a downstream financial investment which was actually rejected by FIPB. A downstream investment is an investment by a company in another company by way of acquisition of shares or control.

But how is Mr.Chidambaram involved?
Few years later, when P.Chidambaram's son Karthi Chidambaram's accounts were scrutinised, one file revealed some transactions between Karthi and INX in the year 2007(year of Mauritius deal). Delving into this deeply, the CBI figured out that the INX had violated the laws and Karthi was bribed to help them in the scandal. Indira told CBI that they gave Karthi a sum of Rs.10 lakhs to evade the consequences from violation. P.Chidambaram was the finance minister during this period which eventually makes it easier to get approvals.

In 2010, the Enforcement directorate filed a case against INX, but it was halted without any reason. Again in 2017, the case was registered and PC defended himself saying that there is some political motive behind this. His plea for anticipatory bail was rejected.

This is not going to end easy and that is for sure. Cases, anticipatory bails, rejections, trials, courts has been going on for years. In July 2019, Indira became an approver. PC
was taken into CBI custody. He then spent 106 days in Delhi Tihar jail and was granted bail on December 4.

The case is not yet over!


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