Karti Chidambaram's chartered accountant remanded to 14-day judicial custody

Karti Chidambaram's chartered accountant S Bhaskararaman, who was arrested in the INX Media money laundering case, has been sent to 14 days of judicial custody by a court in Delhi.

Bhaskararaman was produced before court from the custody of the Enforcement Directorate (ED). Special public prosecutor Nitesh Rana had sought three more days of custodial interrogation.

Special judge NK Malhotra sent the chartered accountant (CA) to Tihar Jail. 

Bhaskararaman was arrested from a five-star hotel in the heart of the national capital on February 16.

The case involves the Foreign Investment Promotion Board (FIPB) approval granted in 2007 for receipt of funds by INX Media when Karti's father and senior Congress leader P Chidambaram was the finance minister during the UPA government's regime.

The ED had alleged that INX Media had deliberately and in violation of the conditions of the approval made a downstream investment of 26 per cent in the capital of INX News Pvt Ltd without specific approval of FIPB, which included indirect foreign investment by some foreign investors, and generated Rs 305 crore foreign direct investment in INX Media Pvt Ltd against the approved foreign inflow of Rs 4.62 crore.

The investigating agency alleged that to wriggle out of the situation without any punitive action, INX Media entered into a criminal conspiracy with Karti.

The ED further alleged that the FIPB unit of the finance ministry had not only granted illegal approval but also misinformed the investigation wing of Income Tax Department. 

The ED alleges that Bhaskararaman, a qualified CA, had been assisting Karti in managing his "ill-gotten wealth" in India and abroad.

The ED had said the investigation required the presence of Bhaskararaman for collecting vital evidence and other information which was within his special knowledge and exclusive domain.