ED seeks fugitive offender tag for MGF promoter Shravan Gupta | India News

The Enforcement Directorate (ED) has sought to declare Shravan Gupta, promoter of realty firm MGF, a fugitive economic offender (FEO), people familiar with the development said on Thursday, adding that the designation will allow the agency to confiscate his properties anywhere in the world.“We have started the process under the Fugitive Economic Offenders (FEO) Act, 2018 before a special court to declare the businessman Shravan Gupta a fugitive and confiscate his properties,” said an officer, requesting anonymity.Introduced by the government in 2018 to deter economic offenders from evading Indian law by remaining outside the jurisdiction of Indian courts, the fugitive tag empowers authorities to confiscate the proceeds of crime and assets, where the amount involved is above ₹100 crore. The law also bars a declared fugitive economic offender from filing or defending civil claims in Indian courts.Also read: ED seeks ‘fugitive economic offender’ tag for ex-TMC youth leader Vinay MishraED begins FEO proceedings against GuptaGupta is accused of receiving proceeds of crime in the ₹3,737 crore VVIP chopper deal. He is also under investigation in an alleged fraud case lodged against him by Emaar India Ltd. He allegedly fled from India in November 2019 and is said to be living in London. An Interpol red notice was issued against him in August 2023 and efforts are on to get him extradited.“There is compelling evidence for initiating FEO proceedings against him because he has deliberately evaded ED’s nine summons over a period of time. Detailed documentary evidence has been submitted before the court,” said a second officer.Also read: Two promoters of Delhi company declared fugitives over Rs1,200 crore fraudGupta faces allegations in chopper deal, Emaar caseIn January 2015, while attaching assets worth ₹82.29 crore belonging to MGF Developments Ltd, ED had alleged that Gupta, as director and chairman of MGF Developments Ltd, siphoned off funds worth ₹180 crore from Emaar MGF Land Ltd, a Joint Venture (JV) of Emaar PJSC, Dubai and MGF Developments Ltd.In the VVIP chopper case, ED attached properties worth ₹16.57 crore belonging to Shravan Gupta in March 2024 alleging that he had received proceeds of crime from a shell company based out of Mauritius, which had received the kickbacks in the defence deal from Agusta Spa, Italy.The federal agency filed a charge sheet against Gupta in the VVIP chopper case in February 2022.An email query sent to MGF India regarding ED’s FEO move didn’t elicit a response.Also read: ₹58,082 cr to public sector banks: Govt tells Lok Sabha">Fugitive offenders owe ₹58,082 cr to public sector banks: Govt tells Lok SabhaED has initiated FEO action against 57 peopleED has, till date, launched FEOA proceedings against 57 individuals out of which 22 have been declared ‘fugitives’. Some of these high-profile individuals include diamantaire Nirav Modi, former Kingfisher promoter Vijay Mallya, underworld don Iqbal Mirchi’s wife Hajra Memon and sons Junaid and Asif, and arms dealer Sanjay Bhandari. Under the FEO Act, the agency has confiscated assets worth ₹2,178 crore.