According to the Foreign Exchange Management Act of 1999’s provisions, the Directorate of Enforcement has confiscated assets totalling Rs. 30.60 crores in the form of investments in securities linked to Vikram Swarup and Gaurav Swarup in the Pandora Paper Leaks case.
Vikram Swarup and Gaurav Swarup were discovered to be the beneficial proprietors of the British Virgin Islands-incorporated business Epsilon Enterprises Ltd. in the Pandora Leaks. Investigations further found that the beneficiaries of Epsilon Enterprises Ltd. bank accounts held with Standard Chartered Bank, Jersey, and Bank J. Safra Sarasin, Switzerland, were Vikram Swarup and Gaurav Swarup.
The Pandora Papers are a leak of 11.9 million confidential documents that expose the hidden offshore accounts of world leaders, politicians, celebrities, and business leaders. The documents, which were obtained by the International Consortium of Investigative Journalists (ICIJ), reveal how these individuals have used offshore tax havens to hide their wealth and avoid paying taxes.
The FEMA, 1999 investigation found that the Swarup brothers were holding “foreign exchange” assets in the name of the aforementioned Epsilon Enterprises Ltd. in accounts held with Standard Chartered Bank, Jersey and Bank J. Safra Sarasin, Switzerland, in violation of Section 4 of FEMA, 1999.
Assets in the form of investments in securities worth Rs. 30.60 crores were discovered during the inquiry and were seized in accordance with Section 37A of the FEMA, 1999. Under FEMA, 1999, a more thorough inquiry into the situation is being conducted.
