Kerala SIT Probes Suspected GST Evasion in Messi-Kochi World Cup Event Deal:

The Kerala Finance Department’s Special Investigation Team (SIT) has stepped up its probe into suspected GST evasion linked to money sent abroad by a private company that had planned to bring Argentina’s 2022 FIFA World Cup-winning football team and captain Lionel Messi to Kochi for an exhibition match in 2025.

The match plan created huge excitement but eventually failed to take place. The project had also received the backing of the previous Left Democratic Front (LDF) government. Officials said the current United Democratic Front (UDF) government is considering a wider anti-corruption probe based on the findings of the SIT investigation.

The SIT, headed by GST Deputy Commissioner C. Brijesh, is expected to record statements from tax officials who had first raised concerns about possible GST evasion in 2025.

Officials said the SIT is looking into why the case did not move forward despite GST intelligence finding that the company had transferred around Rs 126 crore to a foreign entity through banks. According to the officials, the transaction created a GST liability of about Rs 22.68 crore to the State government.

The tax authorities had reportedly issued several notices to the company, but there was no response at the time. The company responded only in early August after the matter came under renewed government scrutiny. It has argued that it does not have to pay the tax because the proposed event never took place.

The government is also examining the background of the sponsoring company. Officials said the company was allegedly set up with very little capital just weeks before it approached the LDF government with the proposal to organise the high-profile football event.

Based on the SIT’s findings and legal advice, the government may refer the company’s registration and financial details to the Registrar of Companies and the Serious Fraud Investigation Office (SFIO) for further examination.

The wider inquiry is also looking at how the agreement between the LDF government and the company was finalised. Officials are examining whether proper procedures, including open tendering, inviting other interested companies, clearance from the Law and Finance Departments, Cabinet approval and a proper assessment of the project’s financial value, were followed.

If the inquiry finds offences under the GST Act or the Prevention of Corruption Act, the government could hand over the matter to the Vigilance and Anti-Corruption Bureau for a detailed investigation.

Officials also said details of the money sent abroad by the company could attract the attention of central agencies such as the Enforcement Directorate (ED) or the Central Bureau of Investigation (CBI), depending on the findings of the ongoing probe.