Enforcement Directorate issues show cause notices to foreigners owning properties

by Abdul Rauf Beig
Posted on 2008-11-12
PANAJI — Finally action against the foreigners has been initiated for having purchased immovable properties by individuals and companies owned by them in violation of the Foreign Exchange Management Act, 1999 with the revenue department of the Directorate of Enforcement issuing show cause notice to them.
According to highly placed sources in the state secretariat, the special director in the Directorate of Enforcement has communicated to the state government that the show cause notices (as to why the properties should not be confiscated for violation of country’s laws) have been issued to in six of the 482 cases being investigated by the enforcement department.
The sources also stated that as per the communication received by the state government, the show cause notices for violations of FEMA 1999 have been issued to M/s True Axis Resorts Pvt Ltd (a company owned by Mr Valium Rashid and Mr Leonid Beyzer – both Russian nationals).
The department has also communicated that the investigations as in cases against two more firms – M/s Cosmic Connection Resorts Pvt Ltd (company represented by Mr Alexander Mamedov – Russian and Gurudas Uttam Govekar - Indian) and M/s Artlibori Resorts Pvt Ltd (represented by Mr Leonid Beyzer) – are in the final stage of completion. The action by the central government department empowered to deal with cases of FEMA violations and Prevention of Money Laundering Act comes in wake of state government urging the central agency to expedite the cases forwarded to it by the Goa office of the Reserve Bank of India.
The state government had also urged the central government agency to investigate the cases following reports of large-scale land purchases by the foreigners mostly in the coastal areas of the state. The state had constituted a special team to investigate the cases and the team found out 482 cases of land purchases, which were forwarded for probe by the ED for FEMA violations.
The sources further said that the Enforcement Directorate has requested that the Goa government expeditiously send further information as regards to sale deeds of the properties purchased by 18 companies that were under investigation and nature of properties purchased (whether agricultural or non-agricultural at the time of purchase and subsequent conversion of land use, if any). Meanwhile, some of the British bloggers are carrying out a tirade against Mr Anupam Kishore, a state government official, who headed the team that investigated the cases of violations by the foreigners and have been crying for his blood and accusing him witch hunt against the foreigners. The blog site Britishexpats.com has also been carrying out messages against Mr Dayanand Narvekar, former finance minister, who had moved an amendment to Indian Registration Act, 1908, in the state assembly some months ago that would allow the state government to acquire properties sold illegally to foreigners and prevent registration of properties sold to foreigners.