Mumbai: Following the probe taken up based on reference received from the Reserve Bank of India (RBI), the ED had issued a showcause notice to TMB, its directors, Standard Chartered Bank and one of its officials for contravening FEMA.
The Enforcement Directorate (ED) said on Friday that the Standard Chartered Bank has been fined Rs 100 crore by its Adjudicating Authority under the Foreign Exchange Management Act, 1999 (FEMA).
The Adjudicating Authority has also fined Tamilnad Mercantile Bank (TMB) Rs 17 crore and its then Chairman and Director M.G.M. Maran Rs.35 crore.
According to the ED, a probe under FEMA was taken up based on reference received from the Reserve Bank of India (RBI) to investigate advance remittances received by certain entities for purchase of the shares of Tuticorin headquartered TMB through the escrow mechanism maintained with Standard Chartered Bank, Mumbai.
Following the probe, the ED had issued a showcause notice to TMB, its directors, Standard Chartered Bank and one of its officials for contravening FEMA.