Forex fraud: Couple get 3 months’ jail

Forex fraud: Couple get 3 months’ jail

MUMBAI, March 18: The Chief Metropolitan Magistrate (CMM) T V Nalawade on Tuesday sentenced a couple to three months’ imprisonment for foreign exchange transaction without obtaining the permission of the Reserve Bank of India (RBI) in 1984.

Exporters of pure silk Narendra Kothari and his wife S N Kothari were arrested by the Enforcement Directorate (ED) when they failed to take steps to realise export proceeds to the tune of Rs 28.61 lakh.

On January 6, 1984, ED officials checked into information that the company owned by the Kothari couple, D S International, was over-invoicing its export of silk sarees and the difference was being paid through hawala transaction. Later during a raid on the business and residential premises owned by Kotharis several incriminating documents were recovered.