ISSN (Online) - 2349-8846 Circumventing Institutions: Did Chidambaram Subvert the Foreign Investment Promotion Board? JAI BHATIA, ADVAIT RAO PALEPU Vol. 52, Issue No. 24, 17 Jun, 2017 Jai Bhatia (
[email protected]) is a PhD student at the School of Oriental and African Studies, University of London. Advait Rao Palepu (
[email protected]) is an independent researcher. The raids on premises connected to former Union Finance Minister Palaniappan Chidambaram and his son Karti Chidambaram have attracted attention because of the allegations by the Central Bureau of Investigation, the Enforcement Directorate and Bharatiya Janata Party Member of Parliament Subramanian Swamy that the functioning of the soon-to-be defunct Foreign Investment Promotion Board was sought to be subverted. One major accusation against Chidambaram is that he manipulated the working of the FIPB to help the former Communications Minister Dayanidhi Maran in the Aircel–Maxis case. The EPW presents for the first time how this unusual deal was structured in a convoluted manner using preference shares. By World Economic Forum [CC BY-SA 2.0], via Wikimedia Commons ISSN (Online) - 2349-8846 On 16 May, the Central Bureau of Investigation (CBI) conducted search and seizure raids in four cities on the homes and offices of former Finance Minister Palaniappan Chidambaram’s son Karti Chidambaram. These raids were related to a probe by the CBI on a foreign investment approval granted to the Peter and Indrani Mukherjee owned INX Media by the Foreign Investment Promotion Board (FIPB). This clearance, it has been alleged by the CBI and others, was illegally obtained by the company.