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

Hero MotoCorp executive chairperson Pawan Kant Munjal.

The Enforcement Directorate (ED) on November 10 announced that it has seized assets worth Rs 24.95 crore belonging to Pawan Kant Munjal, the executive chairperson of Hero MotoCorp, as part of a money laundering investigation.

The central agency provisionally attached three immovable properties of Munjal in Delhi under the Prevention of Money Laundering Act (PMLA).

Munjal serves as the CMD (Chairman and Managing Director) of Hero MotoCorp Ltd, and the attached assets are estimated to be about Rs 24.95 crore, the agency said in a statement.

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The ED conducted raids against Munjal and his companies in August following the initiation of a PMLA case. This case was filed based on the Directorate of Revenue Intelligence (DRI) charge sheet, which accused him of illegally taking foreign exchange/currency out of India.

The probe originated from a DRI complaint against an individual purportedly close to Munjal. This person was under scrutiny for allegedly carrying undeclared foreign currency.

"The prosecution complaint alleges that foreign currency/foreign exchange equivalent to Rs 54 crore was illegally taken out of India," the ED said.

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In March 2022, the Income-Tax (I-T) department conducted raids on Munjal and Hero MotoCorp as part of an investigation into tax evasion. Subsequently, in June, news agency Reuters reported that the Ministry of Corporate Affairs (MCA) initiated an investigation to assess the connection between the company and a third-party vendor in a case involving the alleged diversion of funds.

Hero MotoCorp became the world's largest two-wheeler manufacturer in 2001, based on unit volume sales in a calendar year, and it has retained this title for the past 20 years. The company has a global presence, operating in 40 countries across Asia, Africa, and South and Central America.

(With PTI inputs)