Chandraswami let off in FERA violation case

Chandraswami was today acquitted by a Delhi court of the charge of violating Foreign Exchange Regulation Act (FERA) relating to payments of 13,910 pounds to law firms to fight his legal cases in the United Kingdom in 1986-87.

Last Updated: Aug 20, 2010, 23:21 PM IST

New Delhi: Controversial self-styled godman
Chandraswami was today acquitted by a Delhi court of the
charge of violating Foreign Exchange Regulation Act (FERA)
relating to payments of 13,910 pounds to law firms to fight
his legal cases in the United Kingdom in 1986-87.

"I acquit accused Nemi Chand Jain alias Chandraswami of
the charges under the Foreign Exchange Regulation Act,"
Additional Chief Metropolitan Magistrate Ajay Pandey said.

Second accused in the case Kailash Nath Aggarwal died
during the trial.
The court refused to lend credence to the alleged
recovery of various communications and letters relating to
payments made to two London-based solicitors` firms.

Enforcement Directorate (ED) had conducted a search on
February 23, 1990, at the residence of Aggarwal here, which
had resulted in the recovery and seizure of documents and
letters written by solicitors to Chandraswami.

The seized documents also included the bills raised by
solicitors in connection with certain legal cases, including a
defamation suit filed by Chandraswami against Lakhu Bhai
Pathak in London.

Non-disclosure of source and submission of foreign
currency without prior permission from RBI by an Indian
national constituted an offence under the FERA, ED has said in
its complaint.

The payments to the tune of 13, 910 pounds were made to
London based law firms M/s Oswald Hickson Collier and Company
and M/s Richard C M Sykes during 1986-1987, A K Vali and
Naveen K Matta, special prosecutors of ED, said.

PTI