The Supreme Court on Friday gave BJP leader Subramanian Swamy two weeks to place ‘concrete’ material to prima facie prove that former Finance Minister P. Chidambaram ignored Foreign Investment Promotion Board (FIPB) regulations by clearing the foreign investment proposal in the Aircel-Maxis deal in 2006 without first having it vetted by the Cabinet Committee on Economic Affairs (CCEA).
Arguing before a Bench led by Chief Justice of India J.S. Khehar, Dr. Swamy contended that the CCEA should give the thumbs up to any foreign investment proposal worth over ₹600 crore, before the FIPB nod is granted.
The total transactions in the Aircel-Maxis deal, he said, was worth about ₹3,500 crore or $800 million. However, Mr. Chidambaram granted FIPB approval without sending it to the CCEA.
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“Was he [the former Finance Minister] aware of the fact that the deal was [worth] over ₹600 crore and he had to send it to the CCEA?” Chief Justice Khehar asked.
“He was the Finance Minister. There is a presentation of the proposal before the FIPB. He needs to know,” Dr. Swamy responded.
“That he is supposed to have known is quite another thing... What material do you have to show that he knew? What is the material you have placed before us to prove his knowledge?” Chief Justice Khehar asked.
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“Fact of the matter is no Minister can claim he did not know... The matter is before the Central Bureau of Investigation, they have examined it and had filed sealed cover reports before this court in 2015. The CBI should now tell this court what progress has been made,” Dr. Swamy submitted.
“You have to give us concrete material that he was privy... you have to prove your allegation with concrete material,” Chief Justice Khehar told Dr. Swamy.