Posted On Sunday, February 06, 2011 at 08:52:32 AM

http://www.mumbaimirror.com/index.aspx?page=article&sectid=59&contentid=2011020620110206085232639187dd503

The IPL’s Kochi franchise finds itself in another mess after a disclosure that some of its stake holders hoarded billions of rupees in foreign banks.

Mumbai Mirror is in possession of documents that reveal that the Mehtas, co-owners of the Kochi franchise and stake holders in Rosy Blue, have accounts in the tax haven of Liechtenstein.

According to a document, Dilip Ramniklal Mehta, Arun Ramniklal Mehta, Harshad Ramniklal Mehta and Amit Bhansali are beneficial owners of the secret assets deposited in an off-shore bank account.

Under the scanner

The date of signing the contract is shown as Geneva, November 29, 1995. Dilip and Amit’s domiciles are listed as Antwerp, Belgium.

The contract also indicates that Prabodh Mehta was one of the prime beneficiaries, having got $149987.29 transferred to his account.

“They have made these investments in their personal capacity and we have absolutely nothing to do with it,” a Kochi franchise official said.

On Saturday, reports had emerged that the Mehtas were already under scanner for Foreign Exchange Management Act (FEMA) violations and money laundering.

Apparently as much as euros 4.4 million used for estate planning was transferred to Liechtenstein.

Not out fault

It is learnt BCCI is taking a serious note of the disclosure. A board official said, “We need to investigate the matter first.

As of now we have no proof of money laundering on their part.”

The official, however, appeared helpless when asked whether they would conduct an inquiry.

He said, “Tell us what more can be done. We had two similar cases (Punjab and Rajasthan) but the court ruled against us. It ordered a stay on our stay.

“The matter is still in the interim stage, but we had an intent to clean the system. But that wasn’t to be.”