Introduction:
On Thursday, a Delhi court granted bail to Congress leader Karti P. Chidambaram in a money laundering case tied to the alleged Chinese visas scam. Special Judge Kaveri Baweja of Rouse Avenue Courts granted the bail after Chidambaram appeared in response to a summons. Chidambaram was released on a personal bond of Rs. 1 lakh and one surety of a similar amount. The Enforcement Directorate (ED) had registered the money laundering case against Karti Chidambaram, S. Bhaskararaman, and Vikas Makharia, related to the issuance of visas to 263 Chinese nationals in 2011, when his father, P. Chidambaram, was the home minister.
The ED’s case falls under various provisions of the Prevention of Money Laundering Act (PMLA), based on an FIR by the Central Bureau of Investigation (CBI). The alleged scam involves a payment of Rs. 50 lakhs by Talwandi Sabo Power Limited (TSPL), a Vedanta Group subsidiary, to secure project visas for Chinese experts from Shandong Electric Power Construction Corp (SEPCO). TSPL needed these visas to avoid delays and financial penalties while establishing a 1980 MW thermal power plant in Punjab.
Project Visas, introduced in October 2010 for the power and steel sectors, required approval from the Union Home Secretary and Union Home Minister for deviations from guidelines. Vikas Makharia, on behalf of TSPL, allegedly approached S. Bhaskararaman, a close associate of Karti P. Chidambaram, for help in reusing these visas. Bhaskararaman purportedly forwarded Makharia’s request to Karti Chidambaram, resulting in a demand for a Rs. 50 lakh bribe to secure the necessary approvals.
Arguments of Both Sides:
The prosecution, represented by the Enforcement Directorate, alleged a well-coordinated criminal conspiracy involving Karti P. Chidambaram, S. Bhaskararaman, and Vikas Makharia, among others. They presented evidence including email exchanges between the accused parties, which they claimed substantiated the bribe demand and subsequent approval of the visa reuse request.
The ED argued that the bribe was a critical part of ensuring the project’s timely progress, preventing significant financial losses for TSPL. They maintained that the approval process was manipulated in violation of the guidelines, underscoring a deeper corruption network involving high-ranking officials and private entities. The ED emphasized the need for a thorough investigation to uncover the full extent of the conspiracy and identify all participants.
The defense, led by Karti P. Chidambaram’s legal team, contended that the charges were politically motivated and lacked concrete evidence. They argued that the alleged email exchanges and other documentary evidence were insufficient to prove Karti’s direct involvement in the bribe or the conspiracy. The defense highlighted Karti’s consistent cooperation with the investigation and his adherence to the summons issued by the court.
They stressed the absence of any substantial evidence linking Karti to the receipt of the alleged bribe, and questioned the authenticity and interpretation of the emails presented by the prosecution. Furthermore, the defense pointed out that Karti’s role, if any, was limited to forwarding a request without any personal gain or corrupt intent. They argued for his bail on the grounds of insufficient evidence and his non-flight risk status.
Court’s Judgment:
After considering the arguments from both sides, Special Judge Kaveri Baweja granted bail to Karti P. Chidambaram. The court acknowledged the prosecution’s evidence but noted that the investigation was still ongoing and that Karti had been cooperative throughout. The judge emphasized that bail is a right and not a privilege, especially when the accused has shown no signs of evasion or non-cooperation.
Karti was released on a personal bond of Rs. 1 lakh and one surety of a similar amount, with the court imposing conditions to ensure his availability for further investigations and hearings. The judgment reflected a balanced approach, ensuring that while the investigation could proceed unhindered, the accused’s rights were also protected.