Chidambaram's family accused of grabbing hotel: HC seeks CBI reply

India

oi-Vicky

By Vicky

Former finance minister, P Chidambaram's family has come under the CBI's scanner after allegations of them grabbing a hotel in collusion with a bank surfaced. The Delhi High Court which took note of this petition has sought a response from the Central Bureau of Investigation in this regard.

The charge is that Padmini, Chidambaram's sister-in-law, had grabbed a property at Tirupur in collusion with the Indian Overseas Bank. The petition alleging the same was filed by K Kathirvel, a doctor by profession who was running the hotel in partnership with his associates.

The HC sought a status report on the complaint filed in which it was alleged that he was arm twisted by Chidambaram's wife Nalini to grab the hotel for Padmini, her sister. What action have you taken so far. Probe into the matter and get us the status report, the Delhi HC said.

What is the grabbing case all about?

Kathirvel alleged that he had complained to the CBI in September 2016 against Chidambaram, his family members and top officials of the IOB. I had told them my property was grabbed, but no action was taken, he alleged.

Kathirvel went up to the CBI director after the agency's unit in Tamil Nadu did not entertain the plea. He said that the property, Comfort Inn Hotel in Tirupur in which he was a partner, was grabbed with the help of the IOB officials.

It was alleged before the Delhi HC that this was gross misuse of power. He also contended that even after the dues were cleared, the bank went ahead with a mock auction to allot the hotel to Padmini.

The hotel is worth more than Rs 10 crore and he had a loan due of Rs 2.5 crore with the IOB. The bank announced the loan as a non-performing asset and announced an auction, he also contended. He further contended that he had approached the Madras High Court and also the debt recovery tribunal. He paid Rs 64 lakh to the IOB to avoid an auction.

After the bank received the amount, he was promised a cancellation of the amount, Kathirvel claimed. Instead, he claimed that he was cheated by the bank that conducted a farce auction and allotted the hotel to Padmini at a throw away cost of Rs 4.5 crore.

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