New Delhi: The CBI is probing the role of then finance minister P. Chidambaram in allowing foreign investment by a Mauritius-based company, according to its charge sheet in the Aircel-Maxis deal. The CBI will investigate the circumstances of the FIPB approval given by the then Finance Minister P Chidambaram in the Aircel-Maxis deal in 2006.
The Central Bureau of Investigation's (CBI) submission came in its recently-filed charge sheet against then communications minister Dayanidhi Maran, his brother Kalanithi Maran, and Malaysian business tycoon T. Ananda Krishnan and others. Dayanidhi Maran is chargd with using his influence to help Krishnan acquire Aircel by allegedly coercing its owner Sivasankaran to part with his stake.
The investigation has revealed that Dayanidhi Maran did not raise objection to the proposal of foreign investment by the Global Communication Services Holding Ltd. in Aircel Ltd. in 2006.
It added that Global Communication Services had sought the Foreign Investment Promotion Board's approval (FIPB) for $800 million investment, for which the Cabinet Committee on Economic Affarirs (CCEA) was competent to grant approval.
"However, the approval was granted by the then finance minister (Chidambaram)," the CBI's charge sheet said.
"Further investigation is being carried out into the circumstances of the said FIPB approval granted by then finance minister. The related issues are being investigated."
It added that Sindhya Securities and Investments Pvt. Ltd., the Indian partner of Mauritius-based Maxis Communication Bhd, acquired approximately 26 percent equity of Aircel Ltd. through Deccan Digital Networks Pvt. Ltd. for a consideration of approximately $7.43 million which gives it just 0.01 percent economic interest in Aircel Ltd.
Deccan Digital is a joint venture between Sindhya Securities and Investments and Global Communication Services Holding, the Mauritius Subsidiary of Maxis Communication Bhd. Malaysia.
