Enforcement Directorate (ED) on Saturday issued orders to attach properties worth Rs 89.19 crores, including agricultural lands, plots, and houses, belonging to DMK MP S Jagathrakshagan and his family members under Foreign Exchange Management Act (FEMA).
The action against Jagathrakshagan, Lok Sabha MP from Arakkonam constituency in north Tamil Nadu, comes after intense questioning of him and some of his family members in the past few months. The attachment of properties owned by the DMK MP comes close on the heels of the Income Tax department issuing notices to attach properties owned by jailed AIADMK leader V K Sasikala through her benamis.
Jagathrakshagan and his son Sundeep Aanand are accused of subscribing to 70,00,000 and 20,00,000 shares respectively of Silver Park International Pte. Ltd., Singapore, without obtaining the approval of the Reserve Bank of India (RBI).
“Further, these unauthorized acquired shares were transferred by S Jagathrakshagan to his family members in contravention of Section 4 of FEMA read with Regulation 3 of the Foreign Exchange Management (Transfer or Issue of Foreign Security) Regulations, 2004,” the ED said in a statement.
As any foreign exchange outside India in contravention of section 4 of FEMA warrants seizure of properties to the equivalent value, immovable properties in the form of agricultural lands, plots and houses in Tamil Nadu and movable properties in the form of balances in bank accounts and shares totalling to Rs 89.19 Crores held by the MP and his family members were seized.
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