Punished for truth: SIT to probe retaliation against Intelligence officer in Messi controversy

THIRUVANANTHAPURAM: The Special Investigation Team (SIT) will probe the alleged retaliatory action against the officer who reported that GST had not been paid on a financial transaction related to bringing Lionel Messi to Kerala. P.V. Ratnakaran, then Intelligence Officer in Kanhangad, was the first to flag the alleged tax lapse. He reportedly mentioned the issue in a report submitted to the Deputy Commissioner on August 1, 2025. The report pointed to major tax evasion, following which the seriousness of the matter came to light. A notice was subsequently issued to the company’s managing director, but the investigation was stopped thereafter.

Ratnakaran was transferred and his increment was withheld after he reported the alleged loss to the government. The SIT is expected to examine the circumstances surrounding these actions as part of its investigation.

Notice, but no recovery action

A service tax evasion of Rs 22.68 crore was detected in connection with the sponsorship transaction for bringing Messi to Kerala. Summons and notices were issued to company representatives, but no steps were taken to recover the tax.

Kozhikode GST Intelligence and Enforcement wing Joint Commissioner Sreevatsala, Kasaragod Deputy Commissioner V. Sajith and Kanhangad Intelligence Officer K.S. Sajini were issued charge memos after prima facie irregularities were found in the matter. The charge memo is a preliminary step towards disciplinary action. The SIT has also recorded the statements of six other officials in recent days.

Other GST cases under scanner

The SIT may also conduct a comprehensive examination of other major cases handled by the GST Intelligence wing in previous years. These include cases in which tax evasion was detected but remained unsettled, files where no further action was taken despite completion of inspections, and cases where refunds were sanctioned despite serious disputes. Major tax cases involving the gold trade sector, in which recovery could not be ensured, may also come under the SIT’s scrutiny.