ED seizes properties connected to Hero MotoCorp CMD Munjal Pawan worth Rs 25 crore

10 Nov 2023 , 03:23 PM

On November 10, the Enforcement Directorate (ED) declared that, as part of a money laundering probe, it had confiscated assets worth Rs 24.95 crore from Pawan Kant Munjal, the executive chairman of Hero MotoCorp.

Munjal’s three immovable properties in Delhi were temporarily attached by the government agency in accordance with the Prevention of Money Laundering Act (PMLA).

According to a statement from the agency, Munjal is the CMD (Chairman and Managing Director) of Hero MotoCorp Ltd. The attached assets are valued at around Rs 24.95 crore.

In August, the ED launched raids on Munjal and his enterprises after filing a PMLA complaint. The Directorate of Revenue Intelligence (DRI) charge sheet, which accused him of removing money or foreign exchange unlawfully from India, served as the basis for the filing of this case.

The investigation began as a result of a DRI complaint against someone who was allegedly linked to Munjal. This individual was being investigated for possibly having undeclared foreign money on them.

‘The prosecution complaint alleges that foreign currency/foreign exchange equivalent to Rs 54 crore was illegally taken out of India,’ claimed the Enforcement Directorate.

As part of an inquiry into tax cheating, the Income-Tax (I-T) department raided Hero MotoCorp and Munjal in March 2022. The Ministry of Corporate Affairs (MCA) then launched an investigation to determine the relationship between the business and a third-party vendor in a case involving the purported diversion of cash, according to a June report by news agency Reuters.

Based on unit volume sales in a calendar year, Hero MotoCorp rose to become the top two-wheeler manufacturer in the world in 2001 and has held this position for the previous 20 years. Operating in 40 countries in Asia, Africa, and South and Central America, the company has a global reach.

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