A lucrative new Scotch whisky development in Argyll could be at risk over its ties to a notorious Indian murderer.
HMRC rules mean plans to host a distillery worth millions of pounds to the local economy may need to be put on hold or scrapped entirely at the last minute if the developers are ruled to be unfit.
We revealed previously how Manu Sharma, the super-rich son of a powerful politician who shot dead a celebrity barmaid for refusing to serve him a drink, is seeking to make a fortune from a major facility in Portavadie.
HMRC has refused for months to outline whether Sharma’s involvement was picked up during checks around fit and proper owners, and whether further action will now be taken following our investigation.
Its rules mean it would be difficult for a company to be granted a licence while a person with his criminal record is involved as a key figure.
But last night officials confirmed final approvals can only be granted after a facility is fully built.
An HMRC spokesperson said: “We can only approve and issue alcohol producer licences and warehouse approvals once premises have been built.
“We must be satisfied that those involved are law-abiding and production can only begin once all licences and approvals have been granted.”
Sharma’s links to distillery
Sharma was handed a life sentence for killing model Jessica Lal at a crowded socialite party in 1999.
He was brought to justice more than seven years later following a huge manhunt and unprecedented social media activism but was released in 2020.
Our investigation uncovered Portavadie Distillers and Blenders, the company handed an initial licence by HMRC for the project, was given around £15 million in investment from Indian conglomerate Piccadily Agro Industries Limited (PAIL).
PAIL was founded by Sharma’s family and he remains a major shareholder under the new name of Siddharth Sharma.
We found Portavadie Distillers and Blenders is being run in-part by director Dharmendra Kumar Batra – who is also a director of PAIL and one of the most senior figures on its board.
PAIL insists that upon completion the distillery will be owned and operated solely by Portavadie Distillers and Blenders Ltd.
However, there are multiple examples of Sharma talking up how the development will make PAIL a prominent player among Indian distillers on the global stage, and even describing how it is being built in his grandfather’s memory.
Politicians demand answers
West Aberdeenshire and Kincardine MP Andrew Bowie has been demanding answers from HMRC since Sharma’s involvement was first uncovered by us in December.
Bowie said: “This is a critical time for Scotch internationally and consumers are going to expect scrupulously high UK standards to get even tighter.
“The Portavadie distillery is a hugely important development and the right checks must be carried out to protect the reputation of the industry and local business.
“The Labour government must also be clear about what checks were previously done and why any concerns weren’t raised earlier.
“It’s now in the public interest to show whether the ‘fitness’ test was applied, before or after the revelations in The Sunday Post.”
A number of other politicians, including Argyll, Bute and South Lochaber MP Brendan O’Hara and Scottish Conservative justice spokesman Liam Kerr, have also called on HMRC to set out what it knew, and what it intends to do now.
PAIL told us its promoters and directors have a clean business record with no involvement in any commercial fraud or unethical business practices.
It said none are subject to any regulatory bars or embargoes that would restrict their ability to engage in legitimate business activities.
HMRC said it cannot comment on specific individuals or businesses due to taxpayer confidentiality law.
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