New Delhi: The Central Bureau of Investigation, with active support from the Government, has begun planting false information in the media in a desperate bid to cover up its tardy and callous approach to investigations into foreign bank accounts of the Harshad Mehta and Dalal groups.

The joint parliamentary committee probing the scam is likely to take a serious note of CBI’s tax attitude.

Swiss authorities on Feb.15 denied any account of the Mehta group in Switzerland had been frozen, as reported by majority of the newspapers in India.

Reacting to a story filed by Press Trust of India and United News of India, which appeared in over 100 newspapers on Monday, that Mehta’s bank accounts in Switzerland had been frozen, DieterJann Corrodi, Investigating Magistrate in Zurich, told Indian Express “I could not freeze any accounts because I did not find anything.”

“I have sent a letter to the Indian authorities informing them about my decision,” he added.

Corrodi also pointed out that the case, as outlined by CBI, had no relation whatsoever to the accounts in question. He said he had invited New Delhi in his letter to provide more details which could enable him to proceed with the freezing.

“But at the moment there is absolutely nothing,” Corrodi said. When asked to comment on the amount of money available in the accounts linked to Mehta, he said: “No comments.”

Federal authorities in Bern who have to forward requests for assistance in criminal matters to the cantons concerned said CBI had only sought information regarding accounts in Zurich.

Indian Express has learned that CBI is seeking information from three accounts allegedly connected to Mehta in the Swiss bank Credit Suisse, as also another smaller bank.

Leuers from the banks in question informing the investigating authorities that the information sought by India has no relation to the accounts have also been sent to the Indian investigators.

It has also been confirmed that one individual and possibly two ~ figured in the list sent to Switzerland for action. Nothing is known about the others. But authorities said no accounts linked to the securities scam have been blocked.

This is India’s second abortive attempt to get into Mehta’s accounts.

Article extracted from this publication >>  February 19, 1993