The Enforcement Directorate’s (ED) Kochi Zonal Office has launched extensive search operations at 17 locations across Kerala and Tamil Nadu in connection with the ongoing investigation into luxury car smuggling and unauthorised foreign exchange dealings. The operations are being conducted under the Foreign Exchange Management Act (FEMA), 1999, officials quoted by ANI said.
Premises of Film Stars and Traders Raided
The ED carried out searches at multiple locations including the residences and establishments of prominent film stars Prithviraj, Dulquer Salman, and Amith Chackalacal, as well as various vehicle owners, auto workshops, and traders. The raids spanned cities including Ernakulam, Thrissur, Kozhikode, Malappuram, Kottayam, and Coimbatore, according to officials cited by ANI.
The Enforcement Directorate’s Kochi Zonal Office is conducting search operations under Foreign Exchange Management Act (FEMA), 1999 at 17 locations across Kerala and Tamil Nadu in connection with the ongoing probe into the smuggling of high-end luxury vehicles and unauthorised…
— ANI (@ANI) October 8, 2025
Luxury Car Syndicate Under Scrutiny
Officials revealed that the operation targets a syndicate allegedly involved in the illegal import and registration of high-end vehicles such as Land Cruiser, Defender, and Maserati. The luxury cars were reportedly smuggled through India-Bhutan and India-Nepal routes, raising suspicions of extensive foreign exchange violations.
Preliminary Findings: Forged Documents and Undervalued Sales
Early findings indicate a Coimbatore-based network that allegedly used forged documents purporting to be from the Indian Army, US Embassy, and Ministry of External Affairs (MEA). These documents were reportedly used to obtain fraudulent RTO registrations in states such as Arunachal Pradesh and Himachal Pradesh.
According to officials quoted by ANI, the vehicles were subsequently sold to high-net-worth individuals, including film personalities, at undervalued prices, suggesting a well-organized mechanism to bypass legal procedures and regulatory scrutiny.
The ED has not disclosed the identities of all individuals involved, but officials emphasized that the operation is ongoing and further details will emerge as the investigation progresses.
This case marks a significant move by the ED against luxury car smuggling and illegal foreign exchange transactions, highlighting the increasing focus on cracking organized networks exploiting legal loopholes in India’s vehicle import and registration system.
