Advertisement

HindustanTimes Thu,17 Apr 2014

Walmart under ED lens for alleged FEMA violation

PTI  New Delhi, December 06, 2012
First Published: 16:32 IST(6/12/2012) | Last Updated: 17:34 IST(6/12/2012)

The government on Thursday said the Enforcement Directorate is probing alleged violation of FDI regulations by cash and carry chain Walmart.

Advertisement

"Directorate of Enforcement has taken appropriate action to examine alleged contravention of provisions of Foreign Exchange Management Act, 1999, (FEMA) by Walmart, on the basis of reference received from RBI," Minister of State for Finance S S Palanimanickam said in a written reply in the Rajya Sabha.

He was replying to a question whether any enquiry is being conducted to probe allegations of foreign exchange rules violation by Walmart when it invested USD 100 million into a company owned by Bharti group in 2010.

Violation of foreign direct investment (FDI) regulations is covered by the penal provision of the FEMA.

The US retailer had invested USD 100 million in Cedar Support Services, an arm of Bharti Ventures.

CPI Rajya Sabha member M P Achuthan has complained that this violated Indian rules as this investment took place when FDI in retail was barred in this country.

Advertisement
more from New Delhi

Delhi: HIV patient gets 7 years' jail for robbery

A Delhi court has sentenced an HIV-positive man and his wife to seven years in jail for robbery and house trespassing. The court said there were no grounds for leniency on account of health since such crimes were on the rise and needed to be curbed.

Advertisement
Most Popular
Advertisement
Copyright © 2014 HT Media Limited. All Rights Reserved