FINALORDER

30.09.2024

 These appeals have been preferred under section 19 read with section 49(5) of the Foreign Exchange Management Act,1999 against Adjudication Order No. ADJ/12/ADE/SK/2018/FEMA/2406 dated 28.09.2018 (impugned order) passed by the Ld. Adjudicating Authority.

Facts in Brief

2. The appellants in these appeals are Mr. Sunil Chawla, his mother, Mrs. Bina Chawla and two private limited companies namely, M/s Prerak Investment Services Pvt. Ltd. & M/s Nita Infrastructure Ltd., in which they were directors at the relevant time.

3.A complaint was filed by M/s Khaitan & Jaykar, the solicitors for one Mr. Paul McGlade, an Irish national, indicating that Mr. Sunil Chawla and his mother Mrs. Bina Chawla had received foreign remittances in their companies‟ M/s Nita infrastructure Pvt. Ltd., and M/s Prerak Investment Services Pvt. Ltd. from the said Mr. Paul McGlade and his company M/s Infinity Financial Ltd., towards share application money. However, no shares were allotted to Mr. Paul McGlade or his company, M/s Infinity Financial Ltd., and Mr. Sunil Chawla and Mrs. Bina Chawla used the amounts for acquiring personal assets by investing in real estate.

4.It was mentioned in the let