Kalmadi on CWG Money laundering

2010-08-01 05:59:46 - Nksagar - Sagar Media - New Delhi -:Organising Committee C

WG chairman Suresh Kalmadi on Saturday said that there was total transparency in
all the deals and "every pie is accounted for".
A day after the OC was rocked by an alleged scam involving a little known UK-bas
ed company, Kalmadi held a lengthy press conference to dismiss all allegations a
s "totally unfounded and baseless" and threatened to initiate legal action again
st those who have maligned the OC's image."We have nothing to hide. There is tot
al transparency in OC and our conscience is
clear. All the headlines about money trail story is false. Every pie is accounte
d for. We are hurt by this allegations," Kalmadi said.
"I am deeply pained by these unfounded and baseless allegations. I totally deny
this malicious broadcast. It is bad for the morale of the Games which is in such
an important phase. I will like to deny everything which is coming in the news
channel. There is nothing against us in the Central Vigilance Commission report,
" he said."I am thinking of legal action, including defamation against the chann
el. It is such a malicious reporting which is far from truth," Kalmadi added.The
Delhi Games were hit by a major scam after the British Government raised questi
ons about a substantial sum of money which was transferred to A M Films from the
OC.
Reports claimed that over 4.50 lakh pounds were transferred through a British ba
nk to the company, which was also said to be receiving 25,000 pounds a month for
costume designing.Clarifying the position, Kalmadi admitted that there was no c
ontract between the OC and A M Films and they roped in the company at the last m
inute only on the recommendation of the Indian High Commission in London.
"There are two sides of the story. Whole thing has come out because of the VAT r
efund we have asked from the company. They (British authorities) might have gone
to the office of the company but if there is something wrong there, I am not re
sponsible for it. If we were wrong, why would we ask for VAT refund," he said.
Kalmadi denied that the CWG Organising Committee transferred 25,000 pounds every
month to AM Films for costume design and said the OC made a one-time payment of
two lakh and 38 thousand pounds in October last year."Neither we paid money for
costume designing nor paid any monthly amount to A M films. The whole amount of
2 lakh 38 thousand pounds was paid one-time in October 2009," he said."The budg
et for QBR function in London was dully approved by the executive committee of O
C as Rs 13 crore and we spent only six crores. All the money was taken with RBI
permission," said Kalmadi.He explained that the High Commission had recommended
two firms AM Cars & Vans and A M Films for the additional job as demanded by the
London authorities to hold the QBR as the main event management company Jacks a
nd Morton Worldwide said their hands were full."AM Cars and Vans a company compe
lled by the High Commission of India in London was appointed for all the transpo
rtation requirement on the rates approved by the High Commission. Since AM Films
was a sister company of AM Cars and Vans we went for it and that also on the ra
tes recommended by the High Commission," he said waving the letter issued by Hig
h Commission on October 13, 2009.
He said the money to AM Films Ltd was paid through bank transfer from Delhi with
due approvals.The other items like mobile toilets, barricades etc were got thro
ugh AM Cars and Vans, he said.Regarding the CVC report on construction of stadiu
ms, Kalmadi said the OC was not in the picture.
Kalmadi challenged the news channels to prove any transaction that the Organisin
g Committee transfers 25 thousand Pounds every month to AM Films for costume des
ign. He said that the Organising Committee agreed to arrange all items suggested
by the London based civic and Royal authorities during the Queen's Baton Relay
launch ceremony there on 23rd March 2009 and procured them from AM Films Limited
at the cost of One lakh 46 thousand 8 hundred 86 point eight zero Pounds after
due approvals. He said that all transactions by the Organising Committee are tra
nsparent and they have followed all the appropriate financial procedures.
"All the 16 points in the CVC report has nothing to do with the OC. We have yet
to get the possession of all the venues which we are going to do tomorrow. You c
an now ask the venue owners about it," he retorted.
CWG 2010 is mega event, seventy one nations to participate with best of Internat
ional standards infra for sports the most expensive CWG,infrastructure and organ
ising budget of $2.22 billion) and the official estimates say the Indian Sports
Minister M. S. Gill in the parliament on Friday the cost of organising the Games
had risen by a factor of 17 since the bid was made in 2003.
Sports Minister M S Gill on Saturday promised to take "prompt and appropriate" a
gainst corruption cases in the Commonwealth Games and said all deals related to
the sporting extravangza should be be tabled in Parliament.Gill said that if any
irregularities related to 3rd-14th October mega event were brought to his Minis
try's notice, it would deal with it seriously and swiftly."Anything that needs t
o be looked at must be looked at and it will continue even after the Games. I be
lieve that we must put forward everything before the Parliament and the people,"
he told reporters in New Delhi."I am closely following whatever has been report
ed in the media related to various issues of the Games, preparations as well as
other issues. Whatever they be, the clear policy and duty of the Ministry is tha
t if anything comes to our notice which needed to be dealt with, then the office
rs must make sure that they deal with it promptly and appropriately."
"I believe that in our country which is a very powerful and vibrant democracy wi
th a very strong press, we need to support the democracy and the people's right
to know," the Minister said.
Reports claimed that over 4.50 lakh pounds were transferred through a British ba
nk to the company, which was also said to be receiving 25,000 pounds a month for
costume designing.Gill said financial bungling may be making headlines, but at
this crucial juncture hosting a successful Games should be the priority of all t
he parties concerned.
"I think for all of us the prime focus has to be that in a little over 2 months
we will be hosting the Commonwealth Games, which were taken in 2003 by the contr
y's government and continued by the successor governments."
"The major parties support the necessity to conclude the Games in a successful m
anner for the honour and the good of the country and now it should be the prime
duty for all of us," he said.
"We (ministry) have to make sure that we complete all the stadiums on time and k
eep on supporting the athletes. We should not lose focus of the necessity of del
ivering a good Games for the honour of the country," the Minister reiterated.
CVC official reveal all the construction quality certificates inspected so far h
ad been fake or "suspect", raising serious concerns for athletes' and spectators
' safety during the 12- day sporting extravaganza.
"Fake certificates were routinely issued to pass substandard work and material,"
an official of the Central Vigilance Commission told daily newspaper.
Other certificates were "suspect", the official said and "We have not yet been a
ble to gauge the financial implications, but it is certain to have led to very b
ig gains for vendors and contractors."
Construction agencies responsible for the creating the Games infrastructure are
going to hand them over to the Organising Committee today on Sunday 1 August 201
0
â The organising committee will take over the games facilities tomorrow completed i
n all respects only. Mr Kalmadi asserted that the fields of play in all the stad
ia are of the world class and are in excellent condition. looking to the fact th
at these games are going to be viewed by about 3 billion people all over the glo
be, Mr Kalmadi's appeal to stand united to make it a big success comes at no les
s an appropriate time when the mega event is just over two months away.â
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