ED Secures Sanction to Prosecute P Chidambaram Aircel-Maxis, INX Media Cases

The Enforcement Directorate on Thursday informed a Delhi special court that it has obtained mandatory government sanction to prosecute former Union Finance Minister P Chidambaram in the long-pending Aircel-Maxis and INX Media money laundering cases. The ED placed the authorisation before the Rouse Avenue Court, seeking to restart trials that had stalled following a Supreme Court ruling requiring prior sanction under the Prevention of Money Laundering Act.

The agency said it secured the required approvals on February 10 and submitted them to ensure compliance with the Supreme Court’s November 2024 judgment, which made prosecution sanction compulsory for trying public servants under the PMLA.

What ED Told Court

According to the ED, the prosecution sanction has now been formally placed before the special court to accelerate proceedings. The court had taken cognisance of the chargesheets in 2021, but the cases remained largely in limbo pending clarity on the sanction requirement.

In a statement, the agency said it moved swiftly to address procedural delays caused by the Supreme Court ruling. It described the sanction as a remedial step to prevent further hold-up in the trial.

Aircel-Maxis Case

The ED’s Aircel-Maxis case, registered in 2012, relates to a 2006 Foreign Direct Investment proposal worth USD 800 million, approximately Rs 3,565 crore.

Investigators allege that P Chidambaram, then serving as Finance Minister, approved the proposal beyond his authorised limit. The agency claims he was empowered to clear investments only up to Rs 600 crore, while larger proposals required approval from the Cabinet Committee on Economic Affairs.

The ED has further alleged that illegal gratification amounting to Rs 1.16 crore was routed to companies linked to his son, Karti Chidambaram. It has claimed that the FDI approval was granted fraudulently and that funds received by these entities were used for and on behalf of the senior Chidambaram.

INX Media Case

In the INX Media case, initiated in 2017, the ED alleges that Foreign Investment Promotion Board clearance was granted in exchange for kickbacks. The agency claims that the proceeds were routed through shell companies and layered via healthcare investments and overseas properties.

The ED maintains that Karti Chidambaram and associates acted as intermediaries, engaging with INX Media executives to facilitate approvals.

Both P Chidambaram and Karti Chidambaram, who is currently a Member of Parliament, have denied all allegations. They have consistently described the investigation as politically motivated and termed it a witch hunt by the BJP-led central government aimed at targeting opposition leaders.

With the prosecution sanction now submitted, the ED has urged the special court to move ahead with the trial proceedings in both cases. The matter is expected to progress following compliance with the Supreme Court-mandated requirement under the PMLA.

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