Srinagar, April 1: In a case related to money laundering and illegal foreign exchange transactions under the provisions of the Prevention of Money Laundering Act (PMLA) and the Foreign Exchange Management Act (FEMA), Enforcement Directorate Saturday raided the offices and other premises of a Kashmiri businessman here in posh Rajbagh area of Srinagar city and seized bank records and other important documents.
Reliable sources informed news agency CNS that based on specific inputs, the Enforcement Directorate (ED) conducted search operations at four company offices and the residence of an Exporter Hakim Abrar Hussain at Rajbagh. These companies include ‘First Value Intex Pvt Ltd’, ‘Concord Business Ink’, ‘Naqvi Export Ink’, and ‘First Value Real Estates Pvt Ltd’.
Enforcement Directorate official on condition of anonymity told CNS that the accused business man who exports carpets and handicraft products to business establishments in foreign countries had recently exported goods worth Rs 15 crores to his Germany based brother and under Foreign Exchange Regulation Act (FEMA), he was supposed to receive the payment in foreign currency from the buyer. The inputs suggest that the businessman has not shown any ‘payment receiving’ entry.
The official added that prima facie it appears money laundering and illegal foreign exchange case. “We have seized all the records and other documents during six hours raid. The businessman and some of his associates and relatives were questioned. “We have started the examination process of the seized accounts and documents and action under law would be initiated against the accused businessman if found guilty,” he said.
Pertinently, Enforcement Directorate on Saturday started carrying out raids against shell companies under the Prevention of Money Laundering Act (PMLA) and the Foreign Exchange Management Act (FEMA) in major cities of India used by hoarders and even legitimate business houses to launder money during demonetization period. (CNS)