Balwa aide paid Cong leader’s son 4.5cr

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By Mohit sexena-MUMBAI:chief of Mumbai Regional Congress Committee, is entangled in a fresh controversy following the disclosure that the controversial city-based realtor, D B Realty, deposited Rs 4.5 crore in the account of his son Narendra Mohan.

The details of his links with D B Realty, whose co-promoter Shahid Usman Balwa is in jail in connection with the 2G scam, have come to light in response to a PIL filed by RTI activist Sanjay Tiwari in Bombay High Court.

According to bank documents, the statement of Samata Sahakari Bank accounts in the name of Narendra Mohan and his wife, Ankita, show four deposits by D B Realty, amounting to Rs 4.5 crore during 2008-09.

On March 3, the High Court directed Enforcement Directorate, Income-Tax department and anti-corruption branch to investigate Kripashankar Singh's business dealings with Balwa. Both Dynamix Realty and Kripashankar sought to explain the transaction as a loan which had been repaid.

"Dynamix Realty had given a loan to Narendra Mohan Singh which has been repaid to the company on March 12, 2010," said a company spokesperson.

Narendra Mohan spoke in the same vein. "It's a fact that I had taken loan of Rs 4.5 crore from Dynamix Realty for business purpose. However, since our plan did not materialize, I returned the entire amount. All transactions are reflected in my accounts and I-T returns' books. It will be wrong to link the transaction with the 2G scam," Singh Jr told TOI.

He added that since he was entering into a business deal with Dynamix Realty, he had sought loan from the company.

Accordingly, between 2008 and 2009, a total of Rs 4.5 crore was paid to him. The first cheque of Rs 50 lakh was received by him on August 23, 2008, followed by another cheque of Rs two crore on June 1, 2009, and two more of Rs one crore each on February 10 and 27, 2009.

"It was a business proposal. Our transaction failed. Hence, I had to return the money. We repaid the entire amount before March 13, 2010," he said.

This is the second time that DB Realty has sought to explain transfer of funds to kin of politicians as related to business transaction that was later abandoned.

In the earlier instance, D B Realty was found to have transferred Rs 214 crore to Kalaignar TV, owned by second wife and daughter of Tamil Nadu chief minister M Karunanidhi.

The Enforcement Directorate, which uncovered the dealing, is probing whether the money deposited in Kaliagnar TV — a political project of DMK — was in exchange for the spectrum license that Karunanidhi's nominee A Raja had granted to Swan-promoted by Balwa.

D B Realty and Kalignar TV insist the money was for a business venture, which did not materialize, and it has been returned. 

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