Tarun Karthick
Sri Vijaya Puram, 17 December 2025
A group of senior and founder members of the Andaman Association of Tour Operators (AATO) on Tuesday levelled grave allegations of large-scale financial misappropriation, statutory non-compliance and prolonged undemocratic functioning against the present management of the association, particularly targeting its President, who has remained at the helm since AATO’s formation in 2005.
Addressing a lengthy press conference at Hotel Eastern Gate on 16th December, the members alleged that the association has been run in a “dictatorial manner” for nearly two decades, without conducting elections, convening statutory meetings or maintaining transparency in financial dealings, despite repeated demands from the membership.
The primary allegation pertains to the alleged withdrawal of approximately ₹25.55 lakh in cash from AATO’s official bank account. According to the speakers, the withdrawals were made by a single individual over multiple occasions and locations, purportedly for association expenses, but without any supporting bills, vouchers or documentary justification.
Bank statements and extracts of the association’s bylaws were distributed to media persons during the press meet. The members pointed out that Clause 26 of AATO’s bylaws clearly states that the association’s funds shall be deposited in a bank account operated jointly by the Treasurer, President or General Secretary, and that not more than ₹500 may be kept in cash at any time for current expenses.
“Despite this clear provision, the bank statements show repeated large cash withdrawals running into lakhs, which is a direct violation of the bylaws,” one of the founder members alleged.
The members stated that they had formally sought details of expenditures, investments, audit reports and supporting documents nearly a month ago, as a matter of right under the bylaws. After seeking repeated extensions of time, the management allegedly convened a so-called “house meeting” on December 14, attended by around 100 members, but failed to provide satisfactory answers.
“They promised that all bills and records would be produced by December 15. That deadline also passed without any documents being shared,” the speakers claimed, adding that only incomplete bank statements were made available, despite requests for records covering at least five years.
Another major allegation was the complete absence of elections in AATO since its inception. The speakers claimed that the association, which has around 140 members, has not conducted a single election in nearly 20 years, making it “possibly the only association in the country” to function without democratic renewal of leadership.
Several instances were cited where office-bearers—including vice presidents, joint secretaries and treasurers—were allegedly removed or downgraded to ordinary members without board resolutions, elections or even intimation. Former treasurers and signatories to the bank account claimed that their names were removed without their knowledge after they raised objections to large cash withdrawals.
The members further alleged that AATO regularly receives funds from government agencies, tourism bodies and national-level associations for activities such as reef cleaning, first responder training and promotional campaigns. However, it was claimed that the majority of AATO members were unaware of these funds.
During the December 14 meeting, the speakers said only seven to eight members acknowledged knowing that government funds were routed through AATO. “More than 80 per cent of the membership had no idea that such funds were coming in,” one member alleged.
They further claimed that activities showcased as AATO initiatives were often funded by mainland tourism bodies or national associations, with funds allegedly being routed quietly into AATO’s account and withdrawn in cash.
Serious questions were also raised regarding statutory compliance. The members alleged that despite rendering services—such as hiring vehicles, booking hotels, organising events and conducting campaigns—AATO had neither paid GST nor deducted TDS, nor filed corresponding income tax returns.
“Not a single cheque payment can be seen—only self-cheques and cash withdrawals. This raises serious concerns under income tax and GST laws,” the speakers said, alleging that the association’s auditor had failed in his professional duty by certifying accounts without bills or documentation.
The speakers also claimed that an AATO fixed deposit of ₹2.5 lakh was created without any resolution, AGM approval or intimation to members. During questioning, only a handful of members reportedly knew about the FD, while over 100 members were unaware of it.
It was further alleged that when members attempted to initiate discussions on elections through WhatsApp polls, executive committee members allegedly began calling and pressuring members to withdraw their support. Audio recordings and screenshots were claimed to be available as evidence.
The group informed that legal notices have already been issued through advocates to the AATO President and General Secretary, demanding production of complete books of accounts, bills, audit reports, bank statements and records of membership fees. They stated that no reply has been received so far.
Representations have also been submitted to the Deputy Commissioner, the competent authority under the Societies Registration framework, seeking intervention and a comprehensive inquiry into AATO’s financial and administrative affairs.
While clarifying that their intention was not to damage AATO’s reputation, the speakers said their objective was reform, transparency and unity within the tourism sector. They called for democratic elections, proper audits, statutory compliance and inclusive decision-making, reiterating the vision of “One Andaman, One Tourism Association” representing all stakeholders fairly.
The members concluded by stating that they would approach all relevant government authorities, including taxation and regulatory bodies, to ensure a thorough and impartial investigation. “We are not here to pass judgment, but the facts demand scrutiny. If anyone is found guilty, accountability must follow,” they asserted.
The press conference was jointly addressed by AATO members Mr. Ajay Kumar, Mr. Vijayan, Mr. Robert, Mr. Vivek Singh and Mr. Sanjay.
Nicobar Times contacted the AATO top management seeking their response to the allegations and was informed that a press communication, in some form, would be issued by the end of the day to clarify the issues raised. The management added that, as legal notices have been served by the members, they are in the process of preparing their response.
