Subramanian Swamy urges Ministry of Corporate Affairs & SEBI to speed up the probe against Times of India’s Jain brothers

    Swamy urges SEBI, MCA to act quickly against the Times of India group on its tax violations

    Swamy urges SEBI, MCA to act quickly against the Times of India group on its tax violations
    Swamy urges SEBI, MCA to act quickly against the Times of India group on its tax violations

    BJP leader Subramanian Swamy urged the Ministry of Corporate Affairs to speed up the probe against Times of India Group’s tax evasion by floating shell firms, manipulations in Stock Exchange violations and dubious share purchases from minority shareholders. In his detailed complaint, Swamy pointed out that Ministry is not acting even after Calcutta Stock Exchange (CSE) found and reported back about the huge frauds by Times of India promoters Indu Jain and her sons Samir Jain and Vineet Jain in the buyback of Bharat Nidhi Limited, a shell firm which controls the major shares of Times of India Group.

    Bharat Nidhi Limited is listed firm and just a shell firm which is having more than 24% shares in Bennett and Coleman Company Limited (BCCL), which is the flagship company of Times of India Group. Earlier in December 2019, Subramanian Swamy listed out various covert ways of tax evasion and money laundering through shell firms by Jain family members and urged Prime Minister Narendra Modi to direct Income Tax, Enforcement Directorate (ED), the Central Bureau of Investigation (CBI), Department of Revenue Intelligence (DRI), the Securities and Exchange Board of India (SEBI) and Serious Frauds Investigation Office (SFIO) to probe into the frauds in the country’s biggest media group. Swamy pointed out that Times of India Group owning firm Bennett and Coleman Company Limited (BCCL) is controlled through eight shell firms, all located in the same address.

    On SEBI’s Order, Calcutta Stock Exchange’s probe found a series of violations in Bharat Nidhi Limited.

    All these eight shell firms Bharat Nidhi Ltd, Camac Commercial Company Limited, PNB Finance and Industries Limited, Sahu Jain Limited, Ashoka Marketing Limited, Ashoka Viniyoga Limited, Arth Udyog Limited, Combine Holding Ltd are listed in Stock exchanges. Swamy and many minority shareholders (now pending petition in Delhi High Court) accused Jains of trying to buy back the shares by under-invoicing the value, resulting in more than tax evasion and loss to the minority shareholders of more than Rs.1000 crore. Swamy’s detailed complaint is published here[1].

    On SEBI’s Order, Calcutta Stock Exchange’s probe found a series of violations in Bharat Nidhi Limited. The Stock Exchange has reported back to the Ministry and SEBI in March 2020. “In its investigation/examination report, the CSE (Calcutta Stock Exchange) submitted that a prima facie case for MPS violation by companies belonging to Times Group is established which needs to be investigated further. However, despite highlighting in my earlier letter the blatant violations committed by the Times Group, it is regretfully informed that I have till date neither received any response from your offices nor been made aware about the initiation of any investigation into the affairs of the aforementioned companies and persons,” said Swamy in his detailed letter to Ministry of Corporate Affairs, accusing delay and inaction on the CSE probe report.

    “Further, I understand that your good office is burdened and overloaded with extensive work during this time. However, in view of the urgency of the matter and the interests of the minority stakeholders in the Times Group, I request you to provide me with an update regarding the initiation of the investigation, if any, or with the next steps proposed by your offices in the present matter. I remain willing to provide any further information/documents/assistance that may be required by you or your team for conducting a detailed investigation in the matter. I crave to leave file or submit further documents in relation to the present complaint,” said Swamy, also asking Stock Exchange Board of India (SEBI) to speed up the probe on dubious ways of Time of India Group’s major shareholder Jain brothers.

    References:

    [1] Subramanian Swamy urges probe by Income Tax, ED, CBI, SEBI and SFIO into the huge tax violations, money laundering in Times of India GroupDec 25, 2019, PGurus.com

    Team PGurus

    7 COMMENTS

    1. The real problem is in the people of India. While the Indians want a democratic system and crazy about their fundamental rights and freedom to speak, they have forgotten that a Democray is of the people, for the people and by the people. The people of India have allowed the rot to set in so very deep as every aspect of Indian life is overwhelmed by corruption. Even as Modi tries to change a nation he has many urgent issues to deal with. Corruption cannot be undone so easily unless there is an uprising and the people do demand for it. But the corrupt forces are so strong that leaders like Modi cannot undo this in one or even 2 terms in office as everyone around him is suspect while Modi himself have to ise these corrupt forces to also remain in power.

    2. Do not expect anything from this BJP govt, they also support the thugs. They are interested in winning elections & doing nothing, will raise cases & then go home to sleep 20 hours a day. So many ministers but not one with any mettle or talent or manliness. The should join L*T* group. In these days of talking war, buying Mig 29 ? the dated equipment which is already phased out in the world. A dead investment & to siphone people money

    3. Media barons like NDTV, TOI float shell companies, evade Indian tax, pump money out of India and bring it back when it is advantageous. So, they can pay Corrupt money to Top Bureaucrats, Top Netas to install them in power. Why Auditor Gurumurthy is not raising this matter in his Tamil magazine. He is no true Hindu saint. Military Analysts like Major Maroof Raza working for TOI as well as Rahul Shivshankar, Navika Kumar reporting to TOI Jain conglomerate should quit. Same goes for Vishnu Som and Srinivasan Jain clinging to the coat tails of Desh Drohis like Prannoy Roy. They should exercise their conscience and speak up as True Patriots. They look hollow and not walking the talk.

    4. Nothing will happen. Modi is elder brother of Pappu. BJP is another banana party, where corrupt officials are given awards & protection. Honest CBDT officials are persecuted & Prime Minister looks incapable of protecting sincere officials. Modi is no different from Maun Singh. Time for Modi to be awarded Indian Noble Prize & push him off.

    5. The main Problem is These Cunning Industrialists,Keep the “Pets”From All Recognised/Important Political Parties,the reason because of which they either Delay/Escape Judicial scrutiny,Even when Booked,It’s Very easy to find ‘Most Cunning/Intelligent BlackCoats to Bail out

    6. Times of India, from time immemorial is a very corrupt group. Three Times of India Chairmen were in jail. Dalmia, Sahu Jain and Ashok Jain out on bail ran away from country

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