This Article is From Oct 20, 2010

Sudhanshu Mittal to NDTV: I'm being made a scapegoat

New Delhi: In an exclusive interview to NDTV, BJP leader Sudhanshu Mittal has said he is being "made a scapegoat" and has no link to a company that won massive contracts for the Commonwealth Games. (Read: Who is Sudhanshu Mittal?)

Mittal's residence was among 30 places raided on Tuesday in and around Delhi by income tax officials. In February, Mittal was made director of Deepali Arts, owned by his nephew, Vinay Mittal.  It was after this that the company, along with a foreign partner, was given a deal worth 230 crores, to supply treadmills, umbrellas and other "overlays" or moveable equipment for the Commonwealth Games. (Read: CWG scam - 30 places raided include BJP leader's home)

Mittal tells NDTV that he was independent director of Deepali Arts for a short while. 

"I was an independent director of Deepali Arts between February and July and have no idea about the contract worth 230 crores. The company had bid for the contract before I became a director," said Mittal.

After the raids at Mittal's house, BJP president Nitin Gadkari said that his party's stand was that anyone who was accused of corruption should be investigated.  Mittal tells NDTV that he does not expect support from the BJP.  "I am capable of defending myself," he said. (Read: Who is Sudhanshu Mittal?)

Tuesday's income tax raids were conducted to seize documents that may help prove that there proxy owners for the companies that won critical contracts for the Games. ""I do not own any bogus companies," Mittal  stressed. Income tax officials are also looking for evidence of tax evasion, and other financial violations.

The government has ordered a series of investigations by different agencies to get to the root of the corruption that seemed systematic in the Games.

The Enforcement Directorate is looking at violations of foreign exchange laws by, among others, members of the Organizing Committee chaired by Suresh Kalmadi.

The CBI is looking into charges of corruption including substantial kickbacks.  The Comptroller and Auditor General (CAG) is leading a huge audit of every transaction and contract.  The Central Vigilance Commission (CVC) has allegedly suggested that upto Rs 8000 crores may have been deliberately misspent on payment to companies that don't exist, and on companies that were allowed to charge hugely inflated prices for material supplied by them.