The Enforcement Directorate (ED) has intensified its probe into alleged FEMA violations by the Gokulam Group, led by industrialist and film producer Gokulam Gopalan. The agency had summoned him to appear with financial documents.

Kochi: The Enforcement Directorate (ED) is intensifying its investigation into alleged violations of the Foreign Exchange Management Act (FEMA) by the Gokulam Group, owned by industrialist and film producer Gokulam Gopalan. The agency had earlier issued a notice asking Gopalan to appear today with relevant documents. While personal appearance was optional, the ED had allowed submission through a representative as well.

This follows a detailed five-and-a-half-hour interrogation of Gokulam Gopalan last week. The investigation centers around alleged irregularities involving the receipt and use of foreign funds. According to ED’s preliminary findings, the group received a total of Rs 592.54 crore in foreign funds—Rs 370.80 crore in cash and Rs 220.74 crore through cheques—without proper compliance under FEMA guidelines. The ED suspects that some of this money was illegally transferred abroad and is currently verifying whether more funds were involved.

Officials are also investigating how the foreign funds were utilized domestically by the Gokulam Group. Among the questions is whether the funds were used in violation of the law and for what purposes. The ED’s scrutiny gained public attention as it coincided with the commercial success of the film Empuraan, which entered the Rs 200 crore club. Gokulam Gopalan is the film’s producer.

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Search operations were previously conducted at various locations linked to Gopalan, including his home and corporate offices in Chennai and Kozhikode, as well as the Gokulam Mall. These raids were conducted based on suspected violations of FEMA and the Prevention of Money Laundering Act (PMLA).

The ED suspects that illegal transactions worth around Rs 1,000 crore may have taken place through companies and institutions connected to the Gokulam Group. Investment patterns in various firms where Gopalan serves as director are also under review. Both the Income Tax Department (in 2017) and the ED (in 2023) had previously investigated Gokulam Gopalan.