ED slaps Rs 98.5 crore penalty on Rajasthan Royals

NEW DELHI/MUMBAI: The Enforcement Directorate (ED) has slapped a penalty notice of approximately Rs 100 crore against IPL team Rajasthan Royals for allegedly violating forex laws in its business operations.

The agency, which issued the penalty notice after two years of investigations under the Foreign Exchange Management Act (FEMA), has sent out three separate notices to the IPL franchise totalling to Rs 98.5 crore plus some other similar notices earlier, sources said.

While a Rs 50 crore penalty has been slapped on Jaipur IPL Cricket Private Limited (JIPL) and its directors, owners of Rajasthan Royals, Rs 34 crore notice for evasion of forex duties has been issued against EM Sporting Holding, Mauritius and its directors.

A fresh notice of Rs 14.5 crore has been issued against ND Investments, United Kingdom and its directors.

All the three parties can appeal against this penalty order in the appellate authority of FEMA. The order requires the IPL team to pay up in 45 days.

The ED has been investigating financial and foreign exchange irregularities against all the IPL franchises for almost two years now and this is the first big order against any team. It comes just a day after auctions concluded in Chennai for the sixth edition of the glamorous cricket extravaganza.

The penalty order said the probe agency found that foreign investment in JIPL was made in “flagrant contravention of FEMA” and the investment made in this regard was made “much prior to the incorporation of JIPL“.

The penalty was issued after investigations pointed out that the funds in the firm have been remitted in an irregular manner and shares were allegedly issued in violation of forex rules stipulated and framed by the RBI.

ED slaps Rs 98.5 crore penalty on Rajasthan Royals

NEW DELHI/MUMBAI: The Enforcement Directorate (ED) has slapped a penalty notice of approximately Rs 100 crore against IPL team Rajasthan Royals for allegedly violating forex laws in its business operations.

The agency, which issued the penalty notice after two years of investigations under the Foreign Exchange Management Act (FEMA), has sent out three separate notices to the IPL franchise totalling to Rs 98.5 crore plus some other similar notices earlier, sources said.

While a Rs 50 crore penalty has been slapped on Jaipur IPL Cricket Private Limited (JIPL) and its directors, owners of Rajasthan Royals, Rs 34 crore notice for evasion of forex duties has been issued against EM Sporting Holding, Mauritius and its directors.

A fresh notice of Rs 14.5 crore has been issued against ND Investments, United Kingdom and its directors.

All the three parties can appeal against this penalty order in the appellate authority of FEMA. The order requires the IPL team to pay up in 45 days.

The ED has been investigating financial and foreign exchange irregularities against all the IPL franchises for almost two years now and this is the first big order against any team. It comes just a day after auctions concluded in Chennai for the sixth edition of the glamorous cricket extravaganza.

The penalty order said the probe agency found that foreign investment in JIPL was made in “flagrant contravention of FEMA” and the investment made in this regard was made “much prior to the incorporation of JIPL“.

The penalty was issued after investigations pointed out that the funds in the firm have been remitted in an irregular manner and shares were allegedly issued in violation of forex rules stipulated and framed by the RBI.

MLAs show disrespect to Speaker: Th iruvanchoor

THIRUVANANTHAPURAM: Home Minister Thiruvanchoor Radhakrishnan termed as disrespect to the Chair and democratic values the action by the Opposition MLAs, who entered the Speaker's podium during Zero Hour over Suryanelli rape case. Addressing a press conference at the Assembly Media room, he said their action was not matching to the position they hold.

Meanwhile, Members of the Congress-led United Democratic Front (UDF) demanded action against the Opposition members who showed disrespect to the Chair. Opposition MLAs V Sivankutty, James Mathew, Babu M Palissery and R Rajesh rushed to the podium when the house re-assembled after the walkout over the Suryanelli rape case. As the Speaker denied the permission to move the adjournment motion over the issue earlier, the agitating members entered the podium when opposition leader V S Achuthanandan raised the issue again. Though the watch and ward staff tried to stop the agitating members, the Speaker asked them to leave the podium. As soon as the watch and ward staff left the podium, the agitating members left the podium and entered the Well, of the house.

MLAs show disrespect to Speaker: Th iruvanchoor

THIRUVANANTHAPURAM: Home Minister Thiruvanchoor Radhakrishnan termed as disrespect to the Chair and democratic values the action by the Opposition MLAs, who entered the Speaker's podium during Zero Hour over Suryanelli rape case. Addressing a press conference at the Assembly Media room, he said their action was not matching to the position they hold.

Meanwhile, Members of the Congress-led United Democratic Front (UDF) demanded action against the Opposition members who showed disrespect to the Chair. Opposition MLAs V Sivankutty, James Mathew, Babu M Palissery and R Rajesh rushed to the podium when the house re-assembled after the walkout over the Suryanelli rape case. As the Speaker denied the permission to move the adjournment motion over the issue earlier, the agitating members entered the podium when opposition leader V S Achuthanandan raised the issue again. Though the watch and ward staff tried to stop the agitating members, the Speaker asked them to leave the podium. As soon as the watch and ward staff left the podium, the agitating members left the podium and entered the Well, of the house.

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Indian-American gets 17 years in jail for US healthcare fraud

WASHINGTON: An Indian-American pharmacist has been sentenced to 17 years in prison by a US court for a major healthcare fraud worth $57 million.

Babubhai (Bob) Patel, 50, who owned and operated 26 pharmacies across metro Detroit, was sentenced in Michigan court, five months after a jury convicted him of billing the government for more than $57 million for painkillers that were medically unnecessary or never provided.

The government said he paid doctors to write the orders and had recruiters offering cash to poor people in exchange for their Medicare or Medicaid number.

He was arrested on August 2, 2011.

In addition to 17 years of imprisonment, the court also ordered Patel to pay restitution to the Medicaid and Medicare programs in the amount of $17.3 million, and restitution to Blue Cross Blue Shield in the amount of $1.5 million.

In sentencing the defendant, the court told the defendant that “what you have done is reprehensible.”

The criminal conduct engaged in by other healthcare fraud violators sentenced by the court was “small scale compared to this.”
According to evidence presented during a six-week jury trial concluding in August 2012, Patel between 2006 and 2011, billed Medicare and Medicaid more than $57 million.

At least 25 per cent of those billings were for drugs that were either medically unnecessary or never dispensed.

Additional amounts were fraudulently billed to private insurers such as Blue Cross Blue Shield of Michigan.

The pharmacies operated on a business model that paid kickbacks to physicians in exchange for writing prescriptions for expensive medications, the Justice Department said.

The affiliated doctors would also write prescriptions for controlled substances, without regard to medical necessity, which would be filled at the pharmacies and distributed to paid “patients” and patient recruiters.

The expensive non-controlled medications would be billed but not dispensed.

    

Indian-American gets 17 years in jail for US healthcare fraud

WASHINGTON: An Indian-American pharmacist has been sentenced to 17 years in prison by a US court for a major healthcare fraud worth $57 million.

Babubhai (Bob) Patel, 50, who owned and operated 26 pharmacies across metro Detroit, was sentenced in Michigan court, five months after a jury convicted him of billing the government for more than $57 million for painkillers that were medically unnecessary or never provided.

The government said he paid doctors to write the orders and had recruiters offering cash to poor people in exchange for their Medicare or Medicaid number.

He was arrested on August 2, 2011.

In addition to 17 years of imprisonment, the court also ordered Patel to pay restitution to the Medicaid and Medicare programs in the amount of $17.3 million, and restitution to Blue Cross Blue Shield in the amount of $1.5 million.

In sentencing the defendant, the court told the defendant that “what you have done is reprehensible.”

The criminal conduct engaged in by other healthcare fraud violators sentenced by the court was “small scale compared to this.”
According to evidence presented during a six-week jury trial concluding in August 2012, Patel between 2006 and 2011, billed Medicare and Medicaid more than $57 million.

At least 25 per cent of those billings were for drugs that were either medically unnecessary or never dispensed.

Additional amounts were fraudulently billed to private insurers such as Blue Cross Blue Shield of Michigan.

The pharmacies operated on a business model that paid kickbacks to physicians in exchange for writing prescriptions for expensive medications, the Justice Department said.

The affiliated doctors would also write prescriptions for controlled substances, without regard to medical necessity, which would be filled at the pharmacies and distributed to paid “patients” and patient recruiters.

The expensive non-controlled medications would be billed but not dispensed.

    

League not obstinate on aided status

KOZHIKODE: The Muslim League is not obstinate in getting aided status for 33 schools in Malappuram.  

Briefing reporters after the working committee meet, high power committee member E T Muhammed Basheer said, “We raised the demand to assure the benefits and salary of teachers.  The media created the controversies in connection with 33 schools including the demand of aided status.”

The meet convened here discussed the programmes related to Lok Sabha polls. Basheer refused to opine on Suryanelli and NSS issues.

30 killed in bombings in northern Iraq

KIRKUK: At least 30 people were killed and some 70 others wounded in a coordinated car bomb and suicide attack on a police headquarters in Iraq’s northern city of Kirkuk, a local police source said.

The attack apparently was an attempt to take control of the police compound. The attackers blew up at least one car bomb and a suicide bomber wearing explosive vest struck the entrance of the compound, the source told Xinhua on condition of anonymity.

The initial blasts were aimed at opening the way for other gunmen to enter the compound, the source said, adding that the first police report said that the attackers’ attempt was unsuccessful.

Many victims were evacuated by ambulances and civilian cars to several hospitals and medical centers in the city and the death toll could rise, he said. Violence and high-profile bomb attacks are still common in the Iraqi cities despite the dramatic decrease in violence since its peak in 2006 and 2007, when the country was engulfed in sectarian killings.