Nalini Chidambaram Questioned On Saradha Scam, Say CBI Sources; She Says No

New Delhi: The Central Bureau of Investigation questioned Nalini Chidambaram, wife of former finance minister P Chidambaram, in connection with Saradha ponzi scam in Chennai on Saturday, sources in the agency said.

Mrs Chidambaram has denied being questioned. "The CBI did not question me. The CBI officers wanted to know whether Mrs Manoranjana Singh had consulted me professionally. I told them yes," Mrs Chidambaram said.

The name of Mrs Chidambaram, a leading lawyer, got dragged into the case after scam kingpin and Saradha Group chief Sudipto Sen mentioned her in a letter to the CBI before his arrest in April 2013. 

The 18-page letter said Mr Sen claimed he had been forced to strike a series of business deals that were tilted heavily in favour of politicians.

One of these deals was for a TV channel in Guwahati, which, he alleged, was mediated by Mrs Chidambaram. The proposal for a 42-crore investment, he wrote, came from Manoranjana Singh, who was once married to Congress politician Matang Singh. Mrs Chidambaram, Mr Sen wrote, was paid over Rs 1 crore as her legal fees.(Read: Chit fund letter-bomb names Nalini Chidambaram, Trinamool attacks)

Sources close to Mrs Chidambaram today said she represented Mrs Singh in other cases, and was asked to offer her professional advice in her negotiations with Mr Sen. But in a 70-page report by the auditors and her team, Mrs Chidambaram had advised her client against the investment.

According to the proposed deal, the Saradha Group was to pay the legal expenses, even though Mrs Chidambaram was a lawyer for Mrs Singh. And the fees were not exorbitant for a year-long assistance for a lawyer of her seniority, the sources said. The entire transaction was income deducted at source and was paid by cheque.

The Saradha Ponzi scam, under which 17 lakh people had been duped of their life's savings, has been a key issue ahead of the Lok Sabha elections and the recently concluded by-elections in the state. (Read: Amit Shah Uses Saradha to Launch Scathing Attack on Mamata Banerjee)