Probing a foreign exchange violation case against former Indian Premier League boss Lalit Modi, involving an irregular routing of Rs 21 crore from a Mauritius-based firm, the Enforcement Directorate (ED) is set to issue summons to a few individuals under its scanner.
The ED may also ask Modi to “join the probe” whenever the investigators require his presence, said sources. The probe pertains to the routing of the money a few years ago into a Rajasthan-based firm, Heritage Hotels Private Limited (AHHPL) that has a branch office in Delhi.
“In 2007, Modi allegedly took over the directorship of the firm,” said the source. Modi’s representatives have rejected alleged wrongdoing.
The ED began its probe in October 2014 on detecting that a foreign investment funds were being routed to the firm, which had Modi’s relatives.
“We have already recorded the statements of a few employees of the firm who are involved while summons are being issued to more individuals for questioning,” said the source. The ED is verifying if the Reserve Bank of India’s guidelines on Foreign Exchange Management Act (FEMA) were violated in the transaction, said the source.
ED authorities are scanning the record sheets and bank documents of the two firms to gather evidence in the probe. It is probing the case under provisions of the Foreign Exchange Management Act and not under the anti-money laundering act.