The Enforcement Directorate (ED) has seized two Mumbai residential flats worth ₹2.83 crore in the name of businessman Bhupesh Agarwal and his wife under the Foreign Exchange Management Act.
According to the agency, Mr. Agarwal had incorporated and used several dummy entities for remitting funds to Dubai-based companies without getting any services, as was previously declared by him to the authorised dealer banks. The input received was verified and thereafter, the ED conducted searches on the premises linked to him and associated entities.
The ED probe revealed that three companies, identified as Lunarart Media Entertainment Private Limited, Cineblossom Films & Productions Private Limited, and Rocster Entertainment LLP, remitted about ₹52.83 crore to Dubai-based entities under the pretext of having received audio-video services. However, no such services had actually been provided to the three companies, which were allegedly controlled by Mr. Agarwal.
“Further, during the investigation, the directors of the said companies along with the chartered accountant/company secretary who incorporated the stated companies, admitted to have formed them on the instructions of Bhupesh Agarwal. Accordingly, all the payments remitted outside India, in the name of said companies were arranged by Bhupesh Agarwal,” the ED said.
