The Enforcement Directorate (ED) has now begun an investigation under Foreign Exchange Management Act (FEMA) against Abir Lavasa, son of former Election Commissioner Ashok Lavasa, and the company in which he is a director. Abir Lavasa is the fifth member of the Lavasa family to be investigated by the central agencies in the last few months.
Ashok Lavasa during his term as the Election Commissioner had opposed clean chit given to PM Modi and former BJP president Amit Shah for violating the Model Code of Conduct during the campaign for the 2019 Lok Sabha elections.
The ED is investigating the Rs 7.25 crore raised by Nourish Organic Foods Pvt Ltd in March 2019 from Saama Capital, a Mauritius-based India-focused early-stage investor.
Saama Capital has invested in a number of start-ups in India including Paytm, ChaiPoint, Vistaar (NBFC), Snapdeal and SKS Microfinance. Abir is the director of Nourish Organic Foods Pvt Ltd since November 14, 2017.
The agency issued notices to Abir Lavasa to appear before the investigating officer last week. He made an appearance last Friday and was given a week to present documents related to the funds raised.
The notices come months after the Income Tax Department surveyed the accounts of Nourish Organic Foods Ltd. Abir Lavasa holds 10,000 shares in the company which had been served a notice by the IT department in August.
“There is a probe in connection with investments in the company where Lavasa is a director. The company was loss-making and yet received heavy investments at a premium. So we want to question (Abir) Lavasa about it,” an ED official told The Indian Express.
Responding to the allegations, Abir Lavasa said, “Yes, a summons was received last week. We are fully complying with the ongoing inquiry.”
Lavasa Family Under Scanner?
Three members of the Lavasa family, including Ashok Lavasa’s wife Novel, have come under the scanner of the Income Tax Department for alleged non-declaration of income and disproportionate assets. Apart from this, on August 29, the government wrote to 11 PSUs to verify their records for any exercise of “undue influence” by Election Commissioner Ashok Lavasa during his tenure in the Power Ministry from 2009 to 2013.
