ED imposes Rs 184 crore penalty on NewsClick in FEMA violation case | India News
New Delhi: The Enforcement Directorate (ED) News portal Newsclick and its editor-in-chief Praveer Purkayastha have been fined Rs 184 crore under the Foreign Exchange Management Act (FEMA), official sources told news agency ANI on Monday.The order imposed a fine of Rs 120 crore on PPK Newsclick Studio Pvt Ltd, the company that owns the portal, while Purakayastha was fined Rs 64 crore for alleged violations.The agencies were found to be in “violation” of FEMA’s provisions on two primary counts Firstly misrepresentation of foreign direct investment (FDI) funds and secondly, misdeclaration of services and exports.Newsclick’s response to the order is awaited.The ED had earlier searched the portal’s premises in Delhi’s Saidulzab area in connection with a money laundering probe in September 2021. During the investigation, the agency recorded the statements of more than 25 persons, including Purakayastha.In 2023, Roy Bharatiya Janata Party (BJP) cited a New York Times report alleging irregularities involving the portal and its promoters. The article claimed that NewsClick was part of a global network that received funding from American tycoon Neville Roy Singham, who allegedly works closely with the Chinese government media apparatus.The same year, the Special Cell of the Delhi Police raided 30 premises linked to the online portal NewsClick and the homes of its journalists. Delhi Police’s Special Cell and Mumbai Police’s team searched activist Teesta Setalvad’s house in Juhu.Police officials brought Newsclick editor Prabir Purkayastha, writer Paranjoy Guha Thakurta and Urmilesh to the special cell office in the national capital.Founded in 2009, NewsClick describes itself on its website as an independent media organization focused on news reporting in India and around the world, with particular emphasis on progressive movements.
