HC suspends LOC for Vivek Kudva, grants overseas travel permission

Bombay High Court allows ex-Franklin Templeton executive Vivek Kudva to travel abroad from Mar-Oct 2024 amidst ED probe, with specific conditions.

MUMBAI: The Bombay High Court has sanctioned Vivek Kudva, former Asia Pacific distribution head of Franklin Templeton Mutual Fund, to travel abroad from March 18, 2024, to October 31, 2024. Kudva’s plea, presented through an interim application, sought approval for visits to the United Kingdom, Singapore, Malaysia, Australia, Portugal, and the United States of America.

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This decision arises amid an ongoing Enforcement Directorate (ED) investigation into alleged irregularities in withdrawals from six debt schemes of Franklin Templeton Mutual Fund before their closure on April 23, 2020, by Kudva and others.

During the hearing, the bench, led by justice Revati Mohite Dere and justice Manjusha Deshpandewas informed that an Enforcement Case Information Report (ECIR) was filed against Kudva on September 23, 2020. However, no formal complaint has been lodged by the ED in the case thus far.

Kudva, who retired from Franklin Templeton Mutual Fund in August 2022 after a 16-year tenure, has been actively cooperating with the investigation, consistently attending the ED’s office as required.

Notably, the court recognized that Kudva had previously been granted permission to travel overseas on two occasions and had dutifully adhered to the terms and conditions outlined by the court. Taking this into account, the court approved Kudva’s interim application, albeit with specific conditions.

The court directed the joint director of the Directorate of Enforcement, Mumbai Head Office, to promptly inform the Bureau of Immigration, Ministry of Home Affairs, of the decision. Immigration Authorities were instructed to facilitate Kudva’s passage through immigration and boarding of flights, irrespective of the system’s update status.