Bengaluru: The Directorate of Revenue Intelligence (DRI) has imposed a penalty of ₹102 crore on Kannada actress Ranya Rao in connection with a large-scale gold smuggling case that came to light earlier this year.
Rao was arrested on March 3 after she attempted to bring 14.2 kilograms of gold from Dubai into the country through Kempegowda International Airport. The seizure was one of the biggest in recent months and rattled both the film industry and business community in Karnataka.
Investigators allege that Rao coordinated the smuggling operation. Three others were also arrested: businessman Tarun Kondaraju, who is accused of facilitating the transport; and jewellers Sahil Sakharia Jain and Bharat Kumar Jain, who are alleged to have handled the bullion’s sale and diverted proceeds through hawala channels.
All four remain in custody at Parappana Agrahara Central Prison.
The DRI has served notices to the accused under the Foreign Exchange Regulation and the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act (COFEPOSA). On Tuesday, officers from the agency’s Mumbai division delivered the notices in person at the prison, along with detailed documentation outlining the charges and evidence.
{{/usCountry}}The DRI has served notices to the accused under the Foreign Exchange Regulation and the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act (COFEPOSA). On Tuesday, officers from the agency’s Mumbai division delivered the notices in person at the prison, along with detailed documentation outlining the charges and evidence.
{{/usCountry}}"The penalty was calculated by combining the market value of the confiscated gold with the customs duties that investigators say were evaded," said an official, who added that that the financial penalty does not replace ongoing criminal proceedings. “This is only a financial penalty. The prosecution will continue in accordance with law,” the officer added.
The case has attracted widespread attention not only because of Rao’s involvement but also because of the alleged links to hawala operators and cross-border financial networks. Authorities believe the racket could be tied to larger smuggling syndicates using southern India’s airports.
Legal experts note that conviction under COFEPOSA carries severe consequences, including extended prison terms, in addition to heavy financial penalties.