Paradise papers :Hindustan Times Group set up firm in Bermuda

New Delhi Nov 7: The International Consortium of Investigative Journalists (ICIJ) has once brought out paradise papers - the documents to shun the light on offshore entities.

The documents have exposed the links of Indian media houses establishing offshore entities.The documents reveal that the Hindustan Times Group owned by the Bhartias set up a company in Bermuda, Go4i.com (Bermuda) Ltd, through HTBC Ltd, which is one of the three shareholders of the offshore entity.

The annual report of Hindustan Times Limited for 2003-04 lists Go4i.com (Bermuda) as a subsidiary and shows that the company did not have any shareholding in the Bermuda-based entity.

Documents show that Shobhana Bhartia, chairperson of the Hindustan Times Group, and her son Priyavrat Bhartia are directors of the Bermuda entity and also of HTBC Ltd.

The Hindustan Times Ltd is the holding company of HT Media Ltd (listed entity in India) and holds 69.5 per cent stake in the listed entity. Its annual report shows that in the financial year ended October 31, 2003, Go4i.com (Bermuda) registered a loss of $ 701,634 (Rs 3.15 crore), and of $ 861,265 (Rs 4.1 crore) in the previous year. However, there are no details of the business and the revenue of the company over the two-year period.

Response from HT Media

Go4i.com (Bermuda) was formed after taking all requisite approvals as a JV between Swaminn, Indocean Internet Holdings (co-Investors) and HTBC Ltd (a 100% step down subsidiary of The Hindustan Times Limited) to undertake internet and other allied business. The business was subsequently wound up in 2004 after taking all necessary approvals.