Enforcement Directorate to file Isro case under Fema

New Delhi: The Enforcement Directorate, which is already investigating the alleged irregularities in the multi-crore Antrix-Devas spectrum deal of the Indian Space Research Organisation under the Foreign Exchange Management Act (Fema), is set to register a case under the stringent provisions of the money-laundering act.

Sources said the agency, after registering a case under the Fema in this regard, has already sent judicial requests to Singapore, Mauritius and the US to get details about certain firms based there.

The controversial Antrix-Devas deal had seen early exit of G. Madhavan Nair as chairman of Isro as he was the chairman of the governing council of department of Space’s Antrix Corporation Limited when the deal was finalised.

“During its investigation under Fema, the ED sleuths recorded the statements of two top officials the US-based firms. Now the ED has decided to register the case under the provisions of the Prevention of Money Laundering Act”, sources said.

Since the CBI has also registered a case to probe the deal, the ED will automatically start its investigations under the provisions of the money laundering act, sources clarified. The CBI recently registered a case to probe the alleged loss of Rs 578 crore caused in 2005 to the exchequer by K.R. Sridhara Murthi, former executive director of the Antrix Corporation Limited, among others, who had allegedly manipulated the grant of a lucrative contract on delivery of videos, multimedia and information services to mobile receivers and mobile phones using S-Band through GSAT-6 and GSAT-6A satellites and terrestrial systems in India to Devas Multi-media Private Limited.