ED and Income Tax department raid firms linked to Karti Chidambaram

The two companies were Vasan Eye Care and Advantage Strategic.

The Enforcement Directorate officials on Tuesday conducted raids on firms allegedly linked to Karthi Chidambaram, the son of former union minister, P Chidambaram.

Chidambaram accused the government of launching a “malicious onslaught” on his family after income tax officials conducted searches at places belonging to business associates of his son. The two firms were involved in the Aircel-Maxis deal.

“My family and I are quite prepared to face the malicious onslaught launched by the government, ” Chidambaram added.

In a different issue, there were reports this September of the ED registering a case against Karti Chidambaram for money laundering in the Rajasthan ambulance scam case. This company had a financial transaction of Rs 26,00,444 with Aircel in early 2006, when Malaysian company Maxis’ proposal to acquire the majority stake in Aircel was pending with the then Finance Minister P Chidambaram.

“We have made it clear, repeatedly, that no member of my family has any equity or economic interest in any of the firms that are being targeted”. He added that the companies are professionally managed and can provide answers to suitable authorities.

They said while the I-T had undertaken the action on charges of suspected tax evasion by these firms, the ED was a part of the searches in connection with their investigation under the provisions of the Foreign Exchange Management Act (FEMA).

The former finance minister also alleged that the raids were being conducted at the behest of the government by an officer who has a pending dispute with the Department of Revenue, Ministry of Finance.

Chennai: Former finance minister P.Chidambaram on Tuesday said that if the Centre wanted to target him, it should take on him directly instead of targeting his son.