Big ED Crackdown: ₹22.02 Crore Worth of Property Seized from Congress MLA Rana Gurjit and Son

Jalandhar (The Uttam Hindu): The Enforcement Directorate (ED) has seized immovable assets worth ₹22.02 crore belonging to Rana Sugars Limited, a company linked to Congress MLA from Kapurthala, Punjab, Rana Gurjeet Singh and his son, Sultanpur Lodhi MLA Rana Inder Pratap Singh. The seizure was carried out under Section 37A of the Foreign Exchange Management Act (FEMA), 1999.

According to the statement issued by ED Jalandhar, the company had issued Global Depository Receipts (GDRs), but these were not used as per their actual purpose. The investigation revealed that the amount of US $ 2.56 million (about Rs 22.02 crore) received through GDRs was not brought back to India, which is a clear violation of Section 4 of FEMA.

The investigation is ongoing against the promoters, directors and shareholders of Rana Sugars Limited—which includes both MLAs and their family members. The ED said that the foreign currency was kept abroad instead of bringing it to India, which is against the law.

It is worth noting that last year the Securities and Exchange Board of India (SEBI) also imposed a fine of Rs 63 crore on Rana Sugars Limited. This fine was imposed on the allegations of transferring money to individual entities through the company. This action of ED can create a stir in Punjab politics.