ED searches premises of venture capital firm

The Enforcement Directorate (ED) has conducted searches at a Bengaluru-based venture capital investor firm in connection with the Forex violations probe against Vasan Eye Care, a Chennai-based healthcare group.

Sources said a team from the ED searched the office premises of Sequoia Capital in the city under the provisions of the Foreign Exchange Management Act (FEMA). The action was necessitated as ED is probing Vasan Eye Care with which Karti Chidambaram was once linked.

Sequoia Capital, which claims to be a “startup building partner to founders in India who want to turn business ideas into enduring companies,” tweeted to confirm the action.

“Yesterday’s (Monday) ED visit is part of the ongoing investigation into Vasan where Sequoia India is a minority investor along with others. Sequoia has adopted a policy of full compliance with the investigation & has dutifully responded to governmental inquiries received to date. We continue to cooperate with the ongoing investigation on Vasan,” the tweet said.

Sources added that investigators took some documents into their possession as part of the search. The agency had earlier conducted searches in this regard in De­cember last in the case against a firm Advantage Strategic Consulting Private Limited and others and had also searched Karti’s business premises in Chennai.