The income tax department is examining the tax implications of an agreement inked between Datacom Solutions and the Videocon Group, after the former was allotted 2G licences in 21 circles for Rs 15.07 billion in 2008.
Videocon Telecommunications was originally incorporated as Datacom Solutions, a group company of Himachal Futuristic Corporation Limited (HFCL).
Later, two other group companies of HFCL, namely Jumbo Techno Service and Oswal Chemicals and Fertiliser, invested Rs 1.50 billion in Datacom Solutions. Videocon Group entered by purchasing shares from Jumbo Techno Services.
Subsequently, the Videocon Group infused fresh funds amounting to Rs 15.40 billion, according to a presentation made by the income tax department and circulated amongst the members of the Joint Parliamentary Committee (JPC) examining the 2G issue.
After receiving the Unified Access Service Licence, shares were issued to Videocon?s group companies at a face value of Rs 10 per share.
Besides Videocon, the income tax department is examining the Unitech-Telenor deal and the Swan-Etisalat deal, amongst others.
According to the department, these companies have raised funds either from the domestic sources or from foreign countries like Mauritius, Hong Kong, Dubai and Singapore.
