GVK gets MCA notice in the wake of whistleblower allegations on fraud at MIAL
By : Legal Era
Update: 2019-10-16 08:52 GMT
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Mumbai International Airport (MIAL), the flagship of GVK Group is locked in a legal battle with the Adani Group on sale of minority stake. MIAL has received a notice from the Ministry of Corporate Affairs (MCA), seeking some details about the airport operator. Adani Group led by Gautam Adani has dragged the shareholders of the GVK Group-run Mumbai airport to the Bombay High Court, seeking...
Mumbai International Airport (MIAL), the flagship of GVK Group is locked in a legal battle with the Adani Group on sale of minority stake. MIAL has received a notice from the Ministry of Corporate Affairs (MCA), seeking some details about the airport operator. Adani Group led by Gautam Adani has dragged the shareholders of the GVK Group-run Mumbai airport to the Bombay High Court, seeking a direction to them to allow buying out the minority stake held by South African firm Bidvest in the airport.
According to GVK, only MIAL has received a communication asking for certain details/information, which are being furnished.
MIAL is a joint venture between GVK-led consortium of Bidvest and Airports Company of South Africa, and the Airports Authority of India (AAI), in which GVK holds majority 50.5 percent and AAI 26 percent and the remaining 23.5 percent are with the two foreign partners.
Bid Services Division Mauritius or Bidvest owns 13.5 percent, ACSA Global (Airports Company of South Africa) holds 10 percent in the nation’s second busiest airport.
A section of the media has reported that the GVK group was on the Ministry radar following a whistle-blower alleging siphoning of funds, issuance of fake bills to inflate cost to get undue Customs and Excise duty benefits among others.