The Enforcement Directorate (ED) has imposed a staggering fine of ₹900 crore on DMK MP Jagathrakshakan and his family members for violating the Foreign Exchange Management Act (FEMA). The Central probe agency also announced the confiscation of assets worth ₹89 crore related to the case.
In an official statement, the ED revealed that the properties, valued at ₹89.19 crore and seized in September 2020, have now been formally confiscated following an adjudication order issued on August 26, 2024, under FEMA. The agency further detailed that the penalty was levied on Jagathrakshakan, a prominent businessman and Member of Parliament from Tamil Nadu, along with his family and a related Indian entity.
“ED, Chennai had conducted an investigation under FEMA against Jagathrakshakan, a businessman from Tamil Nadu and Member of Parliament, his family members, and a related Indian entity. The properties worth ₹89.19 crore, which were seized in terms of Section 37A of FEMA, have been ordered for confiscation, and a penalty of ₹908 crore (approx.) has been levied as per the Adjudication Order passed on August 26, 2024,” the ED stated in a post on X (formerly Twitter).
The investigation and subsequent penalties highlight the ED’s ongoing efforts to clamp down on violations of foreign exchange regulations. The severe financial penalty underscores the gravity of the violations attributed to the DMK MP and his associates.
