United Spirits gets MCA, I-T Department notices to inspect books

NEW DELHI: The Ministry of Corporate Affairs ( MCA) will probe alleged irregularities in the books of accounts of India’s largest liquor distiller United Spirits (USL).

The ministry has already issued a notice to the company. “The company has received a notice from the ministry of corporate affairs for an inspection of the books of accounts and other books of the company. A notice under Section 131 of the Income Tax Act, 1961, has also been received,” USL said in a filing to the BSE on Wednesday.

United Spirits, in which Vijay Mallya-led UB Group has sold controlling stake to UK-based Diageo Plc, has already asked Mallya to step down as chairman and director after a forensic audit by PwC reported several violations of the Companies Act.

PwC has revealed fund diversion in the past to various UB Group firms including the now-defunct aviation venture, Kingfisher Airlines. In case of any serious lapses, the ministry may also ask the Serious Fraud Investigation Office (SFIO) to probe into the matter