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Last Updated : Jul 02, 2020 10:56 PM IST | Source: Moneycontrol.com

MIAL says surprised to see registration of case by CBI

The CBI has registered a case of cheating and forgery against GVK Group chairman GVK Reddy, his son, GV Sanjay Reddy, MIAL and nine other companies for allegedly siphoning off Rs 705 crore from the airport.

Representative Image
Representative Image

The Mumbai International Airport Limited (MIAL) on July 2 said it is surprised by the case registered against it by the Central Bureau of Investigation (CBI).

MIAL said it would have provided all assistance to the agency had a preliminary inquiry been initiated or any explanation or document was sought.

"MIAL is surprised to note the registration of case by CBI against MIAL and others. MIAL would have provided every assistance had the agency sought explanation or any document even if a preliminary enquiry had been initiated. MIAL is a transparent and responsible corporate entity which is committed to co-operate with the agency in its investigation to arrive at the truth," spokesperson for MIAL said.

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The CBI has registered a case of cheating and forgery against GVK Group chairman GVK Reddy, his son, GV Sanjay Reddy, MIAL and nine other companies for allegedly siphoning off Rs 705 crore from the airport. 

MIAL is a joint venture between Hyderabad-based GVK Group’s GVK Airports Holdings Limited, Airports Authority of India (AAI) and some foreign companies. GVK Group has a 50.05 percent stake while that of AAI is 26 percent.

Read More | In CBI’s case against GVK: Bogus work contract, inflated expenses, fund diversion and hotel stays

An FIR was registered on June 27 after the agency searched six locations in Mumbai and Hyderabad, including offices of GVK group and MIAL. CBI officers also visited the residences of GVK Reddy in the two cities and that of Sanjay Reddy, who is the managing director of MIAL.

Promoters of GVK group in MIAL in connivance with their executives and unidentified officials of AAI siphoned off the funds using various means, the FIR said. It also alleges that the funds were siphoned off using bogus work contracts, misusing surplus funds of MIAL, inflating the company's expenses, and under-reporting revenue.

 
First Published on Jul 2, 2020 10:55 pm
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