ED attaches Amnesty India’s assets worth Rs 1.54 cr under PMLA

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New Delhi: The Enforcement Directorate on Friday announced the seizure of assets worth Rs 1.54 billion of a charitable trust linked to international human rights organization Amnesty India under the Anti-Money Laundering Act.

According to the statement, the Prevention of Money Laundering Act (PMLA) issued a preliminary seizure order.

The order came in connection with a suit filed by the Indian arm of the international organization Indians for Amnesty International Trust (IAIT) for alleged violations of the Foreign Contribution Regulation Act (FCRA).

“However, the same was canceled and permission/registration was denied,” it said.

Amnesty International India Pvt Ltd (AIIPL) and IAIT were set up in 2013-14 and 2012-13 respectively to ‘avoid’ the FCRA route. According to the ED, NGO activities were carried out with money received under the guise of service export and foreign direct investment (FDI).

Amnesty International India Pvt Ltd (AIIPL) and IAIT were set up in 2013-14 and 2012-13 respectively to ‘avoid’ the FCRA route. According to the ED, NGO activities were carried out with money received under the guise of service export and foreign direct investment (FDI).

“The ED investigation found that after AIIFT’s FCRA license was revoked, Amnesty organizations adopted a new method of receiving money from abroad and Amnesty International, the UK sent Rs 51.72 million to AIIPL for export of services and direct under the guise of foreign investment,” He said.

However, the ED claimed that “no documentary evidence” — such as invoices and copies of the agreement — has been submitted for the alleged export.

“It is prima facie established that Amnesty International (UK) invested in Amnesty International India Pvt. Ltd. (AIIPL) in the form of ‘mandatory convertible debentures’.

Subsequently, another Indian firm, IAIT, issued an overdraft facility worth Rs 14.25 billion, using AIIPL’s FD of Rs 10 billion as collateral.

“The overdraft was used by IAIT for Amnesty India’s NGO activities, including salary and administrative and operational expenses. Hence the FDI received to AIIPL was used by IAIT, Bengaluru to carry out its NGO activities and it can be seen that remittances received by AIIPL, a company, are layered into IAIT, a charitable trust. ED said.



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