GVK group is in a soup as CBI registers a case against them on Fraud Allegations. Since the Central Bureau of Investigation (CBI), has discovered a cheating and fraud case. Which is against the stakeholders of the country’s second-busiest airport. However the GVK Holdings, and MIAL, which is a joint venture. Also a public-private partnership between the Group and the Airport Authority Of India (AAI). Which is a body responsible for the Airports and their functioning in the country. This fraud and cheating case entailing irregularities piling an amount close to 705 Crores. Which has seen many big names involved in it. As a case against the GVK promoters G. Venkata Krishna Reddy and Venkata Sanjay Reddy. Along with unknown officials in AAI and MIAL.
According to the CBI, the mammoth amount of 705 Crores was illicitly siphoned off to the group. Which were obtained in the first place, in the name of developmental projects. For the Mumbai Airport, from the authorities.
GVK In A Soup?
The CBI has accused the GVK promoters of violating the management and development agreement. As the company resorted to swindling the authorities into transferring the funds into ventures of Spurious. And Bogus contracts for the Airport. Apart from that, the case also accuses them of resorting to other means to siphon off huge amounts. By inflating the expenditure and diversion of funds and underreported earnings and misreporting of the revenue. In a statement to NDTV, an official said a collective loss of almost 1000 crores.
GVK in that past had a lot of laurels from the authorities for modernizing the Mumbai airport. Especially the Terminal 2 (T2) of the edifice. The Mumbai International Airport Private Limited (MIAL), a joint venture between the consortium involving GVK and Bidvest. However, the GVK Group remains in a soup.
