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Home -> Finance -> Full Story
Govt asked to report on illegal outflow of FOREX
Monday, July 29 2002 20:14 Hrs (IST)

New Delhi: Pulling up the Centre for its apathy towards certain overseas firms allegedly involved in illegal outflow of foreign exchange worth several hundred crores of Rupees by offering e-commerce packages, Delhi High Court on July 29 sought a complete report from the government.

Taking strong exception to the government treating the matter lightly, a Bench comprising Justice Anil Dev Singh and Justice Mukul Mudgal sought the presence of Additional Solicitor General (ASG) to place before it a correct picture of the whole case on August 12.

The court also directed one such firm, Skybiz Ltd, a US company operating through its agents, to furnish complete details about its assets and bank accounts.

"There is an element of inducement in the offers of the Skybiz. Would the government like the system to be exploited like this? Though they (Skybiz) are no longer doing business, still you (government) are allowing them to exploit the people," the court told a junior lawyer appearing on behalf of the government.

The court said if the Centre had taken appropriate action against the firm in time, flight of valuable foreign exchange worth several crore Rupees would have been checked.

According to a public interest litigation (PIL) filed by a lawyer Anil Yadav, foreign exchange worth several crore of Rupees had been taken away by Skybiz in violation of Law.

Yadav's counsel Gagan Gupta, reading out from an affidavit filed by Enforcement Directorate (ED), said it showed that notices have been issued to 17 agents of Skybiz seeking their explanation about outflow of money in Dollars worth Rs 150 crore.

PTI