Coimbatore, Tamil Nadu: The Enforcement Directorate (ED) on Wednesday conducted raids at 17 locations across Kerala and Tamil Nadu as part of a probe into an alleged luxury vehicle smuggling syndicate and unauthorised foreign exchange transactions, under the Foreign Exchange Management Act (FEMA), 1999.
According to officials, the crackdown follows intelligence inputs revealing a network involved in the illegal import and registration of high-end luxury vehicles — including brands like Land Cruiser, Defender, and Maserati — via cross-border routes from Bhutan and Nepal.
Searches were carried out at the residences and establishments of several individuals, including prominent film actors Prithviraj Sukumaran, Dulquer Salmaan, and Amith Chakalakkal, as well as vehicle owners, auto workshops, and car dealers in Ernakulam, Thrissur, Kozhikode, Malappuram, Kottayam, and Coimbatore.
Initial findings by the ED’s Kochi Zonal Office suggest the syndicate used forged documents purportedly from the Indian Army, US Embassy, and Ministry of External Affairs to fraudulently register vehicles in states such as Arunachal Pradesh and Himachal Pradesh. These cars were then sold at significantly undervalued prices to high-net-worth individuals, including celebrities.
Officials stated that the case involves suspected violations of Sections 3, 4, and 8 of FEMA, relating to unauthorised foreign exchange transactions and hawala-based cross-border payments.
The investigation continues as authorities work to uncover the money trail, identify the beneficiaries, and trace the movement of foreign exchange.
