Delhi High Court stays trial in INX Media case

Justice Suresh Kumar Kait issued notice and sought responses of Chidambaram and others on the CBI’s plea challenging the trial court order directing supply of documents to the accused.

The case on hand dates back to 2007 and it is alleged that INX Media entered into a criminal conspiracy with Karti Chidambaram to settle a case of violation of foreign investment norms.

INX entered into a criminal conspiracy with Karti Chidambaram to amicably settle a case of violation of foreign investment norms by the company in 2007.

The media firm had brought in Rs 305 crore through foreign investment even as the FIPB had approved foreign inflow of only Rs 4.62 crore. Karti was engaged by the firm “by virtue of his relationship with the then Finance Minister P. Chidambaram, the CBI alleged.

Karti Chidambaram exercised influence over certain FIPB officials and the department instead of investigating the case, extended undue favours to the media firm by asking it to apply for fresh FIPB approval on the downstream investment of Rs 305 crore in violation of norms. INX Media was granted FIPB permission for the investment which had already come into the firm.

CBI alleges that invoices of at least Rs 3.5 crore were raised in favour of INX Group in the name of companies where Chidambaram has direct and indirect interests.

The CBI had registered its case on May 15, 2017, alleging irregularities in a Foreign Investment Promotion Board (FIPB) clearance granted to the INX Media group for receiving overseas funds of Rs 305 crore in 2007, during Chidambaram’s tenure as finance minister.