The Enforcement Directorate (ED) on Monday arrested CC Thampi of Holiday Group, a "close aide" of Congress President Sonia Gandhi's son-in-law Robert Vadra, for acquiring agricultural land by allegedly circumventing laws concerning Foreign Exchange Management Act (FEMA).
Thampi, an NRI, and his three companies - Holiday City Centre, Holiday Properties and Holiday Bekal Resorts - were on ED radar "under FEMA for Rs an aggregate amount of Rs 288 crores".
An ED release said that Thampi had acquired agricultural land in the name of his company Holiday City Centre Pvt. Ltd in contravention of FEMA 1999.
Following a complaint, an investigation was initiated, which revealed that Thampi had advanced unsecured loans to his three companies which were later converted into equity in his name and in the name of his family members.
The release said that he acquired huge agricultural landmass in Palwal, NCR and Gautam Buddha Nagar, U.P. through the three companies, which he otherwise would not have been able to purchase being a NRI.
"The agricultural land was purchased by Thampi through these companies in contravention of the relevant provisions of FEMA," the release said.
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ED had issued a show-cause notice to Thampi for alleged FEMA to the tune of Rs 1000 crore in November last year.
ED had also booked Thampi under Prevention of Money Laundering Act (PMLA) in connection with alleged wrongful approval for an engineering college in Thrissur by All India Council for Technical Education in 2009.
Thampi has businesses extending across India and UAE.