New Delhi: Justifying the continued operation of lookout circular against Karti Chidambram, son of former Finance Minister P. Chidambaram, the (CBI) on Friday told the Supreme Court that he has several overseas accounts in which he has transferred money.
“He says that he has one account but he has several accounts abroad in which he has transferred money,” Additional Solicitor General Tushar Mehta, appearing for the Central Bureau of Investigation, told the bench of Chief Justice Dipak Misra, Justice A.M. Khanwilkar and Justice D.Y. Chandrachud.
“There is a case under the Prevention of Corruption Act. We are investigating the matter,” he told the court and also referred to the report by the Financial Investigating Unit (FIU).
Telling the court that investigation by FIU were going on for last ten years, senior counsel Kapil Sibal, appearing for Karti Chidambaram, dared the CBI to backup its claim with documentary evidence.
“Show at least one document with his signatures, if you have evidence,” he told the agency, while telling the court that all this was being told about his client to create a prejudice against him.
Noting that his client was asked by the top court to go to CBI for questioning, but not a single question was asked, Sibal said that if the agency had documents, they could prosecute him for FERA violation or black money, adding that what was being told by the CBI was extraneous to the case for which lookout circular was issued.
He told the court that the case under which the circular has been issued relates to the payment of Rs 10 lakh to a company – Advantage Strategic ConsultantA – allegedly for facilitating FIPB clearance for INX Media Ltd.
Denying any linkage of Karti Chidambram with Advantage Strategic Consultant, Sibal said that all that is being told to the court is unrelated to the case under investigation relating to FIPB clearance to INX Media Ltd and if the CBI has other material, then it should take cognizance of it and file separate FIRs in respect of them.
Sibal said that there are Central government’s guidelines on the issuance of the lookout circular and the one in this case was not in conformity with those guidelines.
He told the court that even before the CBI could have asked Chidambram to appear before it for questioning, it issued a circular.
Since the arguments remained inconclusive, the court directed the further hearing on October 4 – which effectively means that Karti Chidambran can’t leave the country till then.
The top court is hearing a plea by the CBI challenging the Madras High Court order staying its lookout circular against Karti Chidambaram to ensure he does not leave the country. The top court by its August 14 order had restored the lookout circular by putting on hold the High Court order.
