ED fines Standard Chartered Rs 100 cr for FEMA breach, penalises two others

TamilNad Mercantile Bank slapped with Rs 17 cr penalty, its former chief told to cough up Rs 35 cr

The Special Director of Enforcement, Chennai has imposed penalties of Rs 100 crore on Standard Chartered Bank, of Rs 17 crore on Tamilnad Mercantile Bank Limited (TMBL) and Rs 35 crore on M G M Maran, then Chairman and Director of TMBL.

According to the ED, an investigation under FEMA was taken up based on a reference received from the Reserve Bank of India (RBI) to check on advance remittances received by certain entities for purchase of TMBL shares through escrow mechanism maintained with Standard Chartered Bank, Mumbai (SCB).

Accordingly, the Directorate of Enforcement (ED) conducted investigations which culminated in the issue