ED Slaps Rs 908 Crore Penalty on DMK MP Jagathratchakan for FEMA Violations

The Enforcement Directorate has imposed a penalty of Rs 908 crore on DMK MP S Jagathratchakan and his family for alleged violations of foreign exchange rules. Properties worth Rs 89.19 crore, seized in 2020, have been confiscated. The case involves investments in a Singapore shell company and a Sri Lankan entity.

The Enforcement Directorate (ED) on Wednesday announced a hefty penalty of Rs 908 crore against DMK MP S Jagathratchakan and his family members, citing violations of foreign exchange regulations.

According to a statement from the federal agency, properties worth Rs 89.19 crore, which were seized in September 2020, have now been confiscated following an adjudication order under the Foreign Exchange Management Act (FEMA) issued on August 26.

Jagathratchakan, a 76-year-old representative of the Arakkonam Lok Sabha seat in Tamil Nadu, and a former Union Minister of State for Information and Broadcasting, is under scrutiny along with his family and a related Indian entity. The investigation revealed a seizure order under FEMA Section 37A for various movable and immovable properties in their names, leading to the enforcement of the recent penalty.