The Directorate of Enforcement (ED) on November 10 announced that it had seized assets worth ₹24.95 crore from properties belonging to Hero MotoCorp Ltd. Chairman and Managing Director Pawan Kant Munjal.
The ED's investigation was initiated following a Prosecution Complaint filed by the Directorate of Revenue Intelligence (DRI) under Section 135 of the Customs Act, 1962, against Pawan Kant Munjal and others.
The complaint alleged their involvement in the illegal transfer of foreign exchange/currency out of India, amounting to ₹54 Crore.
"The Directorate of Enforcement (ED) has provisionally attached three immovable properties located in Delhi worth ₹24.95 crore (approx.) under the provisions of Prevention of Money Laundering Act, 2002 belonging to Pawan Kant Munjal... ED initiated the investigation on the basis of a Prosecution Complaint filed by the Directorate of Revenue Intelligence (DRI) u/s 135 of the Customs Act, 1962 against Munjal and others for taking foreign exchange/currency out of India illegally. The prosecution complaint alleges that Foreign Currency/ Foreign Exchange equivalent to ₹54 crore was illegally taken out of India," ED said in a statement.
The investigation conducted by the ED revealed that Pawan Kant Munjal had arranged for foreign exchange/foreign currency to be issued in the names of various individuals, which was then utilised for his personal expenditures abroad.
This currency was acquired from authorised dealers through an event management company in the names of different employees. Subsequently, the funds were handed over to Munjal's relationship manager, who secretly transported the foreign currency in cash or on cards for his personal and business trips. This method was devised to circumvent the annual limit of $2.5 lakh per person under the Liberalized Remittance Scheme.
In an earlier development, on August 1, 2023, the ED conducted search operations related to Pawan Kant Munjal and associated entities and individuals. During the searches, valuables worth approximately ₹25 crore were seized, along with digital evidence and other incriminating material.
The cumulative value of the seizure and attachment in this case now stands at approximately ₹50 crore.
