The ED has slapped on Pakistani singer Rahat Fateh Ali Khan a showcause notice of Rs 2.61 crore on the charge of illegally dealing in foreign currency. It has alleged that the singer used to receive part payment for his shows in India in cash. This cash, it has alleged, was illegally converted into US dollars and taken abroad.
The notice, ED said on Wednesday, has been issued under the Foreign Exchange Management Act (FEMA) after the probe in the 2011 case was completed recently.
“A show cause notice for the contravention of section 3(a) and section 6(3) of FEMA, 1999 read with Regulation 5 & 7 (2)(b) of Foreign Exchange Management (export and import of currency) Regulations, 2000 for an amount of approximately Rs 2.61 crore has been issued to Khan and Maroof Ali (Khan’s manager), both Pakistani nationals, for illegal dealings in foreign exchange,” the ED said in a statement.
It said some Indians have been charged under the same notice “for their involvement in supplying foreign currency unauthorisedly”. Officials said Khan and others have been asked to reply within 45 days.
In 2011, DRI officials intercepted Khan and his manager Maroof Ali Khan at Delhi airport for allegedly carrying undeclared amount of USD 1.24 lakh and some other foreign currency. The ED subsequently took over the case. The singer has denied any wrongdoing and said they were carrying the cash because they were travelling in a group and that the act was “inadvertent”.