ED raids four firms for FEMA vioation

Blurb: Searches in Tricity, Jalandhar, Delhi; Rs3.88 cr seized

Tribune News Service

Jalandhar, September 16

The Enforcement Directorate has conducted a search operation on the office premises of four companies and residential premises of their directors and associates in Chandigarh, Panchkula, Mohali, Jalandhar and Delhi.

The ED search has resulted in seizure of Indian and foreign currency worth Rs 3.88 crore and bullion worth Rs 24.2 lakh. The teams have also seized incriminating documents, laptops, mobile phones and property documents.

The search was conducted to check suspected violations of the Foreign Exchange Management Act. The four companies under the ED lens include Paul Merchants Ltd, Quick Forex Ltd, Supama Forex Pvt Ltd and Curo India Pvt Ltd.

The ED officials said during the course of the investigation, it was revealed that the companies had sent outward remittances of over Rs 475 crore to Singapore, Hong Kong and the UAE on behalf of shell companies.

These shell companies included Triple Streak Dream Holidays, Wangester Travels Pvt Ltd, Peripatizo Travels Ltd, Himalaya Tourism, Ezax Holidays and Great Journey Tours.

The dummy companies reportedly used fake IDs of individuals for making outward remittances in the guise of purported travel transactions, which resulted into the generation of hawala money. The investigation revealed the illegal money so generated had been invested in real estate and other businesses of their associate companies.

Bq

Rs475 cr transactions

Four firms — Paul Merchants Ltd, Quick Forex Ltd, Supama Forex Pvt Ltd and Curo India Pvt Ltd — allegedly sent outward remittances of over Rs475 cr to Singapore, Hong Kong and UAE on behalf of shell companies, resulting in generation of hawala money