Karti received direct kickbacks: CBI

After receiving their response, the CBI alleged that the proprietors of INX Media (P) Ltd had entered into a criminal conspiracy with Karti Chidambaram to resolve this issue in their favour through his Chess Management Services. 

The FIR was registered by the CBI under IPC Sections 120- B (punishment for criminal conspiracy) r/w 420 (cheating) and 13(2) (punishment for criminal misconduct by a public servant) r/w 13(1) (d) (abuse of position for wrongful gain) of Prevention of Corruption Act. The FIPB had initially struck down its proposal for a downstream investment in its sister firm INX News (P) Ltd and had only given approval for sales of shares to raise a foreign direct investment of Rs 4.62 crore. 

The FIR alleged that the Finance Ministry showed malafide and dishonest intention as they failed to take punitive action against proven violation by the company and covered up such illegality by seeking an application from the company and granted permission to it as if it is yet to receive the foreign investment. The FIR also alleged that Karti received kickbacks for the deal directly through his company and also the benami company, Advantage Strategic Consulting (P) Ltd, which was run by him. 

CBI has included Karti as the third accused in the FIR and his company as the fourth accused.