Big media group's top management questioned by ED in alleged FEMA violation

New Delhi, Jul 08, 2022, IANS

The Enforcement Directorate (ED) has questioned the top managers of Bennett Coleman and Company Limited (BCCL), a media giant, which has a number of publications, such as Times of India, sources said.

Sources have said that the top managers of the firm were questioned by the ED on several occasions in connection with alleged violation of the Foreign Exchange Management Act (FEMA).

A few firms based in the British Virgin Islands were dealing with BCCL. The ED has found transactions of about Rs 900 crore, which are now under the lens of the anti-money laundering agency.

MX Media Co Ltd was incorporated in the British Virgin Island and it was initially shown as a subsidiary firm. The parent company had 52.35 per cent equity. Later on the equity of the parent firm diluted to 40.36 per cent and the MX Media Co Ltd was made an associate firm.

A few other companies of the BCCL were incorporated in South Korea, China and Singapore. BCCL revenue also fell down during the Covid pandemic to 44 per cent.

The ED officials did not comment on the matter.