The Kerala GST investigation has found that Reporter Broadcasting Corporation, whose managing director is Anto Augustine, faces a GST liability of Rs 56.32 crore in connection with transactions related to bringing footballer Lionel Messi to Keralam. The development comes amid allegations that former Sports Minister V. Abdurahiman, who was part of the then CPM-led ministry headed by Pinarayi Vijayan, ignored warnings over alleged tax violations and irregularities in the selection of Reporter Broadcasting Corporation.
State GST investigation team found that Rs 25.78 crore was not paid on money transactions carried out with the Argentina Football Association and foreign legal advisers. The payment was to be made under the Reverse Charge Mechanism. Now, an interest amount of Rs 4.76 crore and a penalty amount of Rs 25.78 crore are to be paid.
The GST team has also found discrepancies in Input Tax Credit in connection with the Jawaharlal Nehru Stadium in Kochi. Now, GST is in the process of issuing a Show Cause Notice under Section 74(A) of the CGST Act.
Meanwhile, reports have emerged that V. Abdurahiman, Sports Minister in the then CPM-led ministry headed by Pinarayi Vijayan, had supported the tax evasion. Persons who belonged to his staff reportedly pointed out that he did not take action even though they had pointed out the violations of the rules, and that all actions were taken according to his will.
The statements given by G.R. Ramesh and Sathyapal to the Special Investigation Team (SIT) have pushed Abdurahiman into trouble. They were the Additional Private Secretary and Private Secretary of the minister.
Here is the major information the former staff members reportedly disclosed before the investigation team:
Officials had told him not to select Reporter Broadcasting Company without a tender. But, he ignored it.
The criminal background of Anto Augustine was ignored.
A private college lady teacher was engaged to operate the minister’s official e-mail despite the warning.
Even though Sathyapal had given the statement against the minister, he reportedly denied it later. Now, the SIT investigation is likely to extend to V. Abdurahiman.
