02 February,2011 06:52 AM IST | | Atul Krishan
Firm approaches court with cheating case against former OC chairman
Troubles don't seem to end for Suresh Kalmadi. The former CWG Organising Committee chairman has got embroiled in fresh controversy after a Mumbai-based company alleged they suffered loses to the tune of Rs 35 crore because of Kalmadi and other senior OC officials.
The company, Premier Brands Private Limited, said that they were granted two contracts (licensing and merchandise rights award and the retail concessionaries right contract by OC). But later on they came to know that first contract had already been given to a foreign company.
The company has filed a petition in a city court to get an FIR registered against 11 senior officials of OC including Lalit Bhanot (Secretary General) and Jarnail Singh (Chief Executive Official).
"It is a clear act of fraud and deception on the part of senior officials of OC," read the complaint copy. The victim company has alleged in its two separate complaints that they were awarded two contracts by the OC. They got the License to merchandise products in the listed to the Games and were granted permission to set up a retail outlet inside the CWG venues.
The company claimed that they were given a letter of acceptance by the OC which is still in their possession. But later they came to know they were duped and the contracts had already been awarded to Singapore-based company Sports Marketing and Managements.
"We participated in the bid for contract on February 2010 and were awarded the contract on May 19, 2010 for solo merchandise for 18 products that included sportswear, casualwear, home accessories like towels, napkin, tableware, jewellery, toys and electronic goods.
The company was entitled to grant further sub-licence to other entities to sell such products with the CWG logo displayed alongside their own logo. A week after the first contract, on May 28, 2010 we were awarded the second contract" said Raman Gandhi, the advocate representing the company.
Gandhi further said that the company came to know later that the license to merchandise these products were already granted to the Singapore-based company in 2007.
According to Gandhi, the company had set up its office in Gurgaon and employed people. They also hired a PR company to deal with clients and were regularly taking out advertisements in leading dailies which resulted in the loss of Rs 35 crore.
"At the last moment we came to know that no shops can be opened inside the premises of CWG venues due to security reasons. Delhi Police had already informed the OC but they didn't inform us," said Gandhi.
| When the first case was registered |
| It was on November 15, last year when the Central Bureau of Investigation registered its first case in alleged irregularities in Commonwealth Games. The CBI filed two separate cases involving UK-based A M Films and former officials of CWG Organising Committee on charges of forgery and cheating in organising Queen's Baton Relay in London. Immediately after registering the cases, the CBI carried out searches at four places in the national capital region including office of CWG Organising Committee. |
