ED Conducts Major Raids in Phagwara Over Alleged FEMA Violations

November 16, 2025

Phagwara, November 16: The Enforcement Directorate (ED) has taken a major action in connection with alleged violation of Foreign Exchange Management Act (FEMA) in Phagwara. A team from the Jalandhar Zonal Office conducted raids at four places in the city. The raid was conducted at the premises of Opal Engineering Corporation (OEC) in Phagwara.

The raid took place on November 14, the ED shared information on X.

ED, Jalandhar Zonal Office, has conducted search operations on 14.11.2025 at four locations linked to M/s Opal Engineering Corporation (OEC) in Phagwara, Punjab, involved in export of engineering goods, for violation of provisions of FEMA, 1999, by receiving payments from… pic.twitter.com/ruaWs2zow0

— ED (@dir_ed) November 16, 2025

Sharing information about the raid on its official handle, the ED said that raids were conducted at four places in Phagwara city on November 14, 2025. According to the agency, there are allegations of irregularities in the export of engineering goods and receiving illegal payments from abroad at these places.

Goods sent to Syria, Iran, Turkey and Colombia

The investigation revealed that the company sent goods to countries like Syria, Iran, Turkey and Colombia but did not receive export payments as per FEMA and RBI norms.

The payments were made through third parties and the money was directly deposited into personal accounts. Hence, no triangular agreements or adjustment entry documents existed.

The agency also revealed that the firm tried to make its transactions appear legitimate by using fake customs email IDs.

Cash and documents seized, more revelations likely

The ED raids also revealed that some export transactions were settled in cash both in India and abroad.

During the raids, the agency seized:

Rs 22 lakh in cash,

several incriminating documents,

and electronic evidence.

The ED says the investigation is ongoing and more important revelations are expected.