ED Seizes ₹3.67 Crore Property in Jabalpur for FEMA Violations

July 24, 2026

Bhopal, July 24: The Enforcement Directorate (ED) has seized property worth ₹3.67 crore in Jabalpur due to violations of the Foreign Exchange Management Act (FEMA), 1999. This action was confirmed by the ED’s Bhopal zonal office in an official statement on Thursday.

The seized property belongs to Priyank Mehta, following the discovery of FEMA violations. The seizure was based on specific information received from the Income Tax Department, which led to an ED investigation.

Authorities found that Mehta had sent $548,000 under the Liberalized Remittance Scheme (LRS) for investment in the EB-5 visa program in the United States. However, a significant portion of this fund—$502,954—was not used for the stated purpose.

Instead of bringing the refunded amount back to India, Mehta transferred it directly from the U.S. to Portugal. Further investigations revealed that this refunded amount was combined with additional funds sent from India to purchase real estate in Portugal. The remaining amount was kept in a foreign bank account in Portugal.

According to the ED, acquiring, holding, and using foreign currency and property abroad violated Sections 4 and 10(6) of FEMA, 1999. The ED utilized its powers under FEMA to seize Mehta’s property in Jabalpur, equivalent to the foreign currency held outside India in violation of FEMA provisions.

Officials emphasized that such actions are part of ongoing efforts to prevent the misuse of foreign currency remittances and ensure compliance with regulatory norms. The ED confirmed that further investigations are underway to uncover additional transactions and properties linked to the alleged violations.

This incident underscores the agency’s vigilance in monitoring cross-border financial activities and its commitment to taking action against those attempting to circumvent foreign exchange laws. The ED is intensifying its scrutiny of foreign investments and the misuse of funds under the LRS.

This seizure marks another significant enforcement action by the ED in Madhya Pradesh, reinforcing its commitment to maintaining the integrity of India’s financial system.