ED seizes Indian assets of high-net worth individuals holding 'undisclosed' multi-crore properties in Dubai

New Delhi: The Enforcement Directorate on Wednesday said it has issued seizure orders for over half-a-dozen Indian assets, worth about 28 crore, of some Delhi-based "high-net worth individuals" who held "undisclosed" properties in Dubai worth crores of rupees.

The orders have been issued against two sets of individuals under the Foreign Exchange Management Act (FEMA) following searches at their premises in Delhi conducted a few months back, the federal probe agency said.

The action was undertaken based on intelligence inputs indicating that certain high-net worth individuals (HNIs), being residents in India, made overseas investments, primarily in Dubai, through payments routed via "hawala" channels, it said.


According to the agency, orders for seizure of Indian assets worth a combined Rs 28 crore were issued as the immovable properties based abroad could not be seized directly.

Under Section 37A, FEMA allows seizure of immovable properties located in India, equivalent in value to the foreign assets acquired and held abroad, it added.

The ED has identified the individuals as Kapil Aggarwal and Sangeeta Aggarwal, who allegedly hold ten immovable properties in Dubai worth AED 1,94,03,975 (equivalent to Rs 34.14 crore).

They are alleged to have acquired these foreign assets "without" any corresponding outward remittance from India through authorised banking channels.

They also failed to furnish any documentary evidence regarding the source of overseas funds used for the acquisition of the said properties, as well as any approval from the Reserve Bank of India (RBI), the agency said.

In the case of a person identified as S Bhattacharya, linked to a company named NEC Energy Pvt Ltd, the ED alleged he acquired two immovable properties valued at AED 40,07,319 (equivalent to Rs 9.83 crore), without any corresponding outward remittance from India through authorised banking channels.

The federal probe agency made a similar allegation that this individual also "failed" to furnish any documentary evidence regarding the source of overseas funds and any approval from the RBI for purchasing the Dubai assets.

The individuals identified by the ED could not be contacted for a response to the action undertaken against them.

"Seizure orders were issued for five immovable properties in respect of Kapil Aggarwal and Sangeeta Aggarwal, valued at Rs 17.83 crore, and for three properties in respect of S Bhattacharya valued at Rs 10 crore," the ED said.