ED seizes properties worth Rs 10.35 crore in Panama Papers case

The Enforcement Directorate (ED) on Saturday seized properties worth Rs 10.35 crore in the form of mutual funds from Whitefield Chemtech Pvt. Ltd., which is controlled by Chirayu Amin and his family, under section 37A of Foreign Exchange Management Act, 1999 (FEMA) in Panama Papers case.

During the investigation, it was noticed that Amin and his family through their company M/s Whitefield Chemtech Pvt. Ltd., India had invested an amount of USD 1.6 million for buying a 3 BHK apartment in Campden Hill, UK.

For purchasing the property in UK, M/s Whitefield Chemtech Pvt. Ltd. transferred an amount of USD 2.4 million to its subsidiary in Singapore in the form of Overseas Direct Investment.

The amount was further transferred to its step-down subsidiaries in UAE and British Virgin Island from where finally USD 1.6 million was used for buying the apartment.

Section 37A of FEMA, 1999 stipulates that if certain foreign exchange, foreign security or immovable property is held outside India in violation of FEMA, 1999 then value equivalent can be seized within India.

Accordingly, equivalent asset amounting to Rs 10.35 crore in the form of mutual funds were seized under section 37A of FEMA, 1999.

Further investigation is on.