nThe Enforcement Directorate on Saturday seized properties worth Rs 89.19 crore from DMK’s Lok Sabha member S Jagathrakshakan and his family members on charges of violation of Foreign Exchange Management Act (FEMA). The DMK leader represents Arakkonam constituency in Tamil Nadu in the Lok Sabha.

According to a statement by the ED, the agency had received information that Jagathrakshakan had acquired foreign security in violation of FEMA. The ED found that Jagathrakshakan and his son Sundeep Aanand had subscribed to 70,00,000 shares and 20,00,000 shares respectively (valued at Singapore $1 per share) of Silver Park International Pte Ltd, Singapore, without Reserve Bank of India's (RBI) prior approval.

“Further, these unauthorised acquired shares were transferred by Jagathrakshakan to his family members in contravention of Section 4 of FEMA read with Regulation 3 of the Foreign Exchange Management (Transfer or Issue of Foreign Security) Regulations, 2004,” said the ED.

Citing Section 37 of FEMA, the ED said it has the power to seize property in India whose value is equivalent to the value of foreign exchange, foreign security, or any immovable property situated outside India.

As a result, the immovable properties in the form of agricultural land, plots, houses and others etc in Tamil Nadu and movable properties in the form of balance in bank accounts and shares totalling Rs 89.19 crore held by Jagathrakshakan and his family members were seized, said the ED.

Further investigation in the case is in progress.