Shillong, Jul 13: The travel agency that was named by Meghalaya Cricket Association President James PK Sangma for allegedly charging the association inflated amounts during the past year has dubbed such claims as “defamatory” and has initiated arbitration proceedings against the MCA.
In a notice to the MCA dated 3rd July (but shared with the press today), Guwahati-based Lone Tree said that it is owed nearly Rs 94 lakh in unpaid dues by the MCA.
According to the agreement signed between the company and the MCA in July last year, payments are meant to be cleared no more than a week after bills are submitted. However, despite reminders, the MCA has not cleared the dues.
“Despite receipt of the emails and demand notices through registered posts (sic) and without any formal dispute, you have continued to unlawfully withhold our legitimate business funds,” the notice read.
Lone Tree was one example of alleged financial mismanagement cited by Sangma in his attack on the previous Apex Council of the MCA along with current MCA Honorary Secretary Rayonald Kharkamni. Sangma alleged to the media that Lone Tree had charged the MCA several lakhs of rupees over and above normal flight ticket prices. Despite these very public statements by Sangma, Lone Tree said that the MCA has raised no formal complaint against the travel agency’s bills.
Instead of responding to the company’s demand notices and emails or clearing the outstanding invoices, Lone Tree “was shocked to have learnt that your association published a defamatory statement which was published in a news article wherein the name of our company was specifically referred to. From the defamatory and unfounded imputations made against the invoices raised by our company, it appears now that the liability claimed by our company is being disputed though directly your association till date had never lawfully raised any objection against invoices or services received from our company.”
As per the agreement with the MCA, disputes are to be settled by arbitration and Lone Tree has proposed a former judge of the Gauhati High Court, PK Deka, as arbitrator. If the MCA does not respond to this within 15 days, Lone Tree said that it will approach the Gauhati High Court.
‘Leak of internal audit drafts being used to malign & defame’
In recent days one person identified as D Malvin Lyngdoh shared reports by Deloitte, the MCA’s internal auditor, calling into question financial decisions taken by the MCA’s former Honorary Treasurer Dhrubajyoti Thakuria and Kharkamni, who held his position in the previous Apex Council as well as the current one.
The reports by Deloitte raised concerns over payments exceeding Rs 1.55 crore to an Assam-based vendor whose lack of GST compliance had been repeatedly flagged. Because this company had not cleared its GST, the MCA was in the hole for several lakhs of rupees.
In another case, Deloitte highlighted its concerns over how Rs 1.33 crore had been allocated by the MCA to the Ri-Bhoi District Cricket Association, which is Kharkamni’s ‘home’ association. This was several times the amount that district associations are typically allocated in a financial year. Much of the money was not properly accounted for by the RBDCA.
Today, a member of the pro-Kharkamni camp said that the Deloitte report was a “mere draft for internal discussion only.”
“How can it be misused like this at this stage just to use it as a basis to malign or defame someone?” the person, who asked to remain anonymous as the whole dispute between Sangma and Kharkamni has reached the Meghalaya High Court. “It is a one-sided observation only and sometimes it’s without considering the ground realities. Therefore it is a subject for discussion and clarification, as had been mentioned in the draft, before any final report on such observations.”
