Hawala racket: ED seizes cash, bullion worth Rs4 cr

Tribune News Service

New Delhi, September 16

The Enforcement Directorate (ED) today said it conducted multi-city raids under provisions of the Foreign Exchange Management Act (FEMA) and seized Indian and foreign currency and bullion worth Rs 4 crore from the possession of hawala operators based in North India.

Fake IDs used

• Outward remittances worth over Rs 475 crore were made to Singapore, Hong Kong and the UAE on behalf of shell entities
• Fake IDs were used for making outward remittances that resulted into generation of hawala money
• The ED conducted searches in Chandigarh, Panchkula, Mohali, Jalandhar and Delhi under the Foreign Exchange Management Act

In an official statement, the ED said the searches were carried out against directors and associates of Paul Merchants Limited, Quick Forex Limited, Supama Forex Private Limited and Curo India Private Limited in Chandigarh, Panchkula, Mohali, Jalandhar and Delhi.

These “entities sent outward remittances of over Rs 475 crore to Singapore, Hong Kong and the UAE on behalf of shell or dummy entities like Triple Streak Dream Holidays, Wangester Travels Private Limited, Peripatizo Travels Private Limited, Himalaya Tourism, Ezax Holidays and Great Journey Tours etc”, the ED alleged in the statement.

These shell entities, the ED said, used “fake IDs of various persons for making outward remittances in the guise of purported travel transactions that resulted into generation of unauthorised (hawala) money”.