New Delhi, May 7 (UNI) Enforcement Directorate (ED) has seized assets worth Rs 1.46 crore under section 37A of Foreign Exchange Management Act (FEMA) in the case of Delhi-based businessman Harish Gahlot for holding foreign assets equivalent of Rs 1.46 crore in the United Arab Emirates in contravention of Section 4 of the Act, ED officials said on Tuesday.
The seized assets include a residential flat in Vasant Kunj in New Delhi and a piece of land at Chauma village in Haryana which are valued at Rs 1.46 crore
He is a relative of Delhi Transport Minister Kailash Gahlot.
The move of the Central financial probe agency came after information was received from the Income Tax Department that a transfer of money to the tune of Rs one crore from India to Dubai through ‘hawala’ channel by Gahlot through a Delhi based hawala dealer for making advance payments towards purchase of two flats in Dubai during September 2018.
The probe agency investigation under FEMA also confirmed the IT Department information that Gahlot had given Rs one crore in cash to his younger son, Nitesh Gahlot, an NRI studying in Dubai through an unauthorised hawala channel.
Nitesh Gahlot through his contact approached Inderpal Wadhawan, a Delhi based Hawala dealer for the same. The Hawala dealer Wadhwan kept Rs 4 Lakh with him as commission and illegally delivered Dirhams equivalent Rs 96 Lakh in Dubai which was collected by the friend of Nitesh Gahlot and deposited the said amount in to Nitesh Gahlot’s bank account in Dubai.
Out of these funds, Nitesh Gahlot had made the payment to the Dubai based developers for booking of two flats in the name of himself, his father Harish Gahlot, his mother and his elder brother.
"Investigation also revealed that on September 26,2018, Harish Gahlot had also sent Rs 50 Lakh from his Bank in India to the bank account of his son Nitesh Gahlot maintained in Dubai under ‘Liberalized Remittance Scheme’ for the purpose code ‘S0305 – Travel for Education Including Fees Hostel Expenses etc.’ However, the said amount was not used for intended purpose but actually used for booking of said two flats in Dubai", the ED said.
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