Srinagar After allegedly failing to realize the outstanding export bills to the tune of crores of rupees, Enforcement Directorate on Thursday conducted raids on Al-Khudam Tour and Travels and Feroz Sons Carpet Exports here in Srinagar city.
Sources in Enforcement Directorate said that raids were conducted at three different locations simultaneously.
Officials privy to the operations said the agency conducted searches against Sheikh Ashiq Ahmad and three premises connected to him.
Sources said that three separate teams of Enforcement Directorate conducted raids at the house and office complex at 90 Feet Road, Soura in the outskirts of Srinagar city. A team also conducted searches at Al-Khudam office at Sangarmal Shopping Complex here in the heart of the city.
An official said that ED conducted raids and search operations in the offices and houses of Al-Khudam Tour and Travels and Feroz Sons Carpet Exports under Foreign Exchange Management Act (FEMA).
Some documents related to foreign firms have been seized after the searches, they said.
Sheikh is alleged to have export proceeds of over Rs 20 crore as outstanding for 2014-15 period even as the agency claimed that the exporter was not cooperating with it.
The ED suspects that the funds allegedly unrealised to the exporter from foreign shores are in violation of Foreign Exchange Management Act (FEMA) and Reserve Bank of India (RBI) rules.
The man being investigated has not been providing any documents and other help sought from him as part of the probe. Hence, the searches had to be conducted to gather evidence, they said.
We had roped in the state police for conducting the searches, the officials said.
As the export proceeds are outside India and the exporter has not made any attempts to bring it back to the country, it is suspected that this money could have been used for terror funding and in hawala transactions, wherein legal banking channels are skirted to route tainted money, they said.
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