ED issues show cause notice to KKR owners Shah Rukh Khan, Gauri Khan, Juhi Chawla for violating FEMA guidelines

New Delhi: Days before the start of the Indian Premier League (IPL) 10, Enforcement Directorate (ED) has issued a show cause notice to the owners of Kolkata Knight Riders (KKR) Shah Rukh Khan, his wife Gauri Khan and Bollywood actor Juhi Chawla for violating the FEMA guidelines on Friday.

KKR are the two-time champions of cash-rich IPL, and are considered one of the top sports brands in the the country. The brand, for that matter fact, has its team in the Caribbean Premier League too, in the form of Trinbago Knight Riders.

It's reported that the show cause notices have been issued by ED under Rule 4(1) of Foreign Exchange Mgmt (Adjudication Proceedings and Appeal Rules), 2000.

The ED has been investigating Shah Rukh Khan on charges of irregularities in the sale of shares of Knight Riders Sports in 2008-09 to a Mauritius-based company owned by Chawla’s husband Jay Mehta. SRK’s company Red Chillies Entertainment, which he co-owns with Chawla, owns KKR. Mehta is also a co-owner of the IPL franchise team.

The agency believes that the KKR shares sold to the Mauritius company were undervalued. It has questioned the actor a number of times in connection with the case.

More updates to follow...