ED searches at Vedanta premises in three cities

NEW DELHI: Several premises of industrialist Anil Agarwal-led Vedanta Ltd in Delhi, Mumbai and Udaipur were on Monday searched by Enforcement Directorate (ED) in a suspected FEMA violation case involving transactions related to brand royalty between the UK-based Vedanta Resources and its Indian subsidiary Vedanta Ltd.

The enforcement agency officials carried out a survey, searching for evidence on suspected remittances made in violation of Foreign Exchange Management Act (FEMA).

A spokesperson for Vedanta said: "We are extending full cooperation to the authorities and are providing all information sought. The company remains committed to compliance with all applicable laws and regulations. As the matter is currently under regulatory process, we are unable to comment further at this stage."

Some of these remittances are for the period around 2023. Any outward remittance is subject to RBI's permission and can be made only after due disclosure as prescribed under FEMA rules. Any violation of these rules leads to an investigation by ED, the agency responsible for implementation of the Act.

Vedanta has mining and oil and gas exploration businesses, as well as ventures in aluminium manufacturing and power sector. It operates thermal power assets at Talwandi Sabo. Besides many ventures under its arm in India, Vedanta has overseas operations in Africa and West Asia.