ED raids premises of Malayalam stars Prithviraj, Dulquer Salman in luxury car smuggling case

The Enforcement Directorate (ED) is carrying out search operations under FEMA provisions at 17 locations across Kerala and Tamil Nadu in connection with an ongoing investigation into the smuggling of high-end luxury vehicles and unauthorised foreign exchange dealings.

The searches target residences and establishments of Malayalam film stars Prithviraj, Dulquer Salman, and Amith Chackalacal, as well as vehicle owners, auto workshops, and traders in Ernakulam, Thrissur, Kozhikode, Malappuram, Kottayam, and Coimbatore (Tamil Nadu), ED sources said.

The searches are based on inputs about a syndicate engaged in illegal import and registration of high-end cars such as Land Cruiser, Defender, and Maserati through the India-Bhutan and India-Nepal routes.

Preliminary findings have revealed a Coimbatore-based network that used “forged” documents (purporting to be from Indian Army, US Embassy, and MEA) and fraudulent RTO registrations in Arunachal Pradesh, Himachal Pradesh and some other states.

The vehicles were allegedly sold to high-net worth individuals, including film personalities, at undervalued prices.

The ED action was initiated after prima facie violations of Sections 3, 4, and 8 of FEMA were detected, involving unauthorised foreign exchange transactions and cross-border payments through hawala channels.

Further investigation is underway to trace the money trail, beneficiary network, and foreign exchange movements, sources said.

Last month, the Directorate of Revenue Intelligence (DRI) and Customs launched a nationwide crackdown on car tax evasion, codenamed ‘Numkhor’, with Kerala as a key focus area.

On September 23, the two departments conducted inspections at 30 locations across Thiruvananthapuram, Ernakulam, Kottayam, Kozhikode, and Malappuram districts, including the residences of actors Dulquer Salman and Prithviraj.