ED Launches FEMA Probe Against Mumbai-Based Film Producer Over Alleged Undisclosed Foreign Assets
The Enforcement Directorate (ED) has initiated an investigation under the Foreign Exchange Management Act (FEMA) against Mumbai-based businessman and film producer Dharmesh Sangani and his company, Kalanee Impex Pvt. Ltd., alleging violations relating to undisclosed overseas assets, foreign bank accounts, and export-related transactions. The agency conducted search operations at premises linked to Sangani in Mumbai as part of the ongoing probe.
According to the ED, the investigation has uncovered indications that Sangani allegedly held substantial shareholding in an undisclosed Canadian company, maintained foreign bank accounts in Canada, the United States, and the United Arab Emirates, and operated overseas business entities that were not reported to the appropriate Indian authorities as required under FEMA. The agency is examining whether these assets and transactions violated India’s foreign exchange regulations.
The probe has also focused on export transactions undertaken by Kalanee Impex Pvt. Ltd. Investigators allege that export proceeds from overseas buyers were either not repatriated to India within the prescribed period or were received from third-party entities different from those mentioned in export invoices and shipping documents. The ED is further examining whether mandatory permissions or extensions were obtained from the Reserve Bank of India wherever required.
During the searches, the ED alleged that Sangani attempted to destroy evidence by throwing his mobile phone from the 13th floor of the building where the search was being conducted. Officials later recovered the device and have reportedly lodged a complaint with the Mumbai Police alleging destruction of evidence.
Investigators have also stated that certain international commercial transactions linked to Sangani are under scrutiny by customs authorities in the United States and the United Kingdom. The ED is coordinating its FEMA investigation with information received from overseas jurisdictions while examining the movement of funds and the ownership structure of foreign entities connected to the businessman.
Dharmesh Sangani is associated with the entertainment industry and is reported to have co-founded a film academy promoted by actor and television host Shekhar Suman. While media reports have highlighted this association, the ED has clarified that its investigation is directed against Sangani and his business entities. There has been no indication from the agency that Shekhar Suman is an accused or is under investigation in the present FEMA proceedings.
