THIRUVANANTHAPURAM: The state government is most likely to constitute a special investigation team (SIT) for a detailed probe into allegations of financial irregularities in connection with football legend Lionel Messi’s failed Keralam visit. The decision is expected to be announced during the next cabinet meeting.
The SIT of the GST department wrapped up its probe earlier this week and filed a report with GST Commissioner. Sources said it pointed out irregularities in inward and outward fund flows in the sponsor’s bank accounts. The SIT also expressed doubts about the source of the funds running to about `200 crore received from two financial institutions.
The GST department, after the preliminary probe, had flagged that IGST liability, which comes to the tune of `22.68 crore, remained unpaid. The sponsor, a private broadcasting company, had transferred `126 crore to an account registered outside the country in connection with its unsuccessful bid to bring Messi to Kerala.
The rule stipulates that outward remittance to any foreign entity should be considered as an inter-state supply and IGST of 18 percent should be charged. Apart from the tax matters, other irregularities were flagged by the Sports Department after its preliminary investigation.
The main allegations are that the sponsor was selected without any bids and the state government made commitments without any confirmation of the event. It was also alleged that the sponsor made pecuniary and other benefits by highlighting the government’s endorsement of the project.