Senior DMK leader loses his properties, caught under fresh trouble!

Senior DMK leader and Lok Sabha MP Jagathrakshakan has invited fresh trouble from the Enforcement Directorate (ED) after the Central agency has seized the properties worth of Rs 89.1 crore that belong to him and his family members after he has been accused of violating the FEMA. 

According to reports, the ED has been probing against the DMK leader based on the information that he had acquired foreign securities by violating the provisions of the Foreign Exchange Management Act, 1999. 

During the probe, it came to the revelation that Jagathrakshakan and his son Sundeep Anand had subscribed to 70,00,000 and 20,00,000 shares respectively from the Silver Park International Pvt Ltd in Singapore at the rate of Singapore dollar $1 per share without acquiring consent from the Reserve Bank of India in obtaining the shares of the company that is situated outside India. 

Upon acquiring the shares, the DMK leader had illegally transferred the securities to his family members that, according to Section 4 of FEMA and regulation 3 of the Foreign Exchange Management Regulations, went in contravention against the act, which had now driven the Enforcement Directorate to seize the properties of the DMK leader and his family members. 

The ED has been vested with the authority to seize the properties situated within India, if any foreign exchange, foreign security, or any immovable property, situated outside India, have been levied with the suspections that such properties are held in contravention of section 4 of the FEMA. The provisions of section 37A of the FEMA had given the right to ED to seize the properties, based on which it has now seized the properties of the DMK leader that are worth Rs 89.1 crore. 

The reports further stated that the immovable properties in the form of houses, plots, and agricultural lands in Tamil Nadu and the movable properties in the form of bank balances and shares worth Rs 89.1 crore belong to the DMK leader and his family members have been seized by the ED under the provisions of Section 37A of the Foreign Exchanges Management Act. 

The reports added that the value of the properties seized is equivalent to the value of the foreign security that was acquired illegally from the Singapore based company, which had come to the revelation of having been gone into contravention of Section 4 of the FEMA. According to the ED, the acquisition of illegal securities had happened in June 2017. Jagathrakshakan is one of the senior leaders in the party who observes close ties with the party's high command and he has been the MP of the current Lok Sabha representing the Arakkonam constituency in the state.