Congress MP Karti Chidambaram has filed a plea in the Delhi High Court to quash a Central Bureau of Investigation (CBI) FIR lodged against him, which accuses him of providing undue relief to Diageo Scotland concerning a ban on duty-free sales of its whisky. Chidambaram contends that the FIR, filed on January 1, 2025, is both malicious and a product of political vendetta.
The FIR in question stems from preliminary inquiries initiated by the CBI in 2018, investigating alleged irregularities in the Foreign Investment Promotion Board (FIPB) clearances during the period when P Chidambaram, Karti’s father, served as the Finance Minister. The allegations specifically relate to actions purportedly taken between 2004 and 2010, with the formal complaint not being registered until fifteen years later, in 2025.
Karti Chidambaram’s legal team, led by lawyer Akshat Gupta, argues that the considerable delay in the registration of the FIR underscores its illegitimacy. They further claim that the FIR was registered without the mandatory prior approval from the competent authority for investigating unidentified public servants, rendering the inquiry unlawful.
The case involves allegations that Karti facilitated relief for Diageo Scotland following a ban by the India Tourism Development Corporation (ITDC) on the duty-free sale of its products, including the popular Johnnie Walker whisky. This ban reportedly led to significant financial losses for Diageo, as 70% of its business in India was tied to these sales.
Additionally, the FIR accuses Karti of being indirectly involved through payments made to Advantage Strategic Consulting Pvt. Ltd (ASCPL), described as an entity under his control, and his close aide, S Bhaskararaman, by Diageo Scotland and Sequoia Capitals.
On January 10, following the registration of the FIR, a court mandated that the CBI must provide Karti with a three-day prior written notice before taking any coercive action in connection with the corruption case. This legal battle marks the fourth case against the Congress MP, highlighting ongoing controversies surrounding his financial and political dealings.
