Gokulam Gopalan's Chit Fund Under Scrutiny in Rs 1,000 Crore FEMA Violation

The Enforcement Directorate is investigating Kerala businessman Gokulam Gopalan and his company, Sree Gopalan Chit and Finance Co. Ltd., for alleged Rs 1,000 crore FEMA violations. The probe involves foreign exchange breaches and unauthorized transactions, as well as potential money laundering and cheating cases.

The Enforcement Directorate (ED) intensified its scrutiny on Kerala-based entrepreneur Gokulam Gopalan, launching searches across five locations in connection with a colossal alleged Rs 1,000 crore foreign exchange breach. This action is in response to suspected violations by Gopalan and his company, Sree Gopalan Chit and Finance Co. Ltd.

The ED's probe emphasizes foreign exchange malpractices under the Foreign Exchange Management Act (FEMA), involving certain Non-Resident Indians (NRIs) and unauthorized transactions. Multiple premises, including those in Chennai and Kochi, are under investigation.

Simultaneously, the agency is looking into 'cheating' allegations which could extend into an anti-money laundering investigation. Gopalan's film production, ''L2: Empuraan,'' also stirs controversy over its political commentary, leading actor Mohanlal to promise the exclusion of contentious content.

(With inputs from agencies.)