ED raids 17 locations in luxury car smuggling case via Bhutan, Nepal; Actors Prithviraj, Dulquer are also among those searched

The Enforcement Directorate (ED) has launched a major investigation into alleged smuggling and illegal registration of luxury cars being transported from India to Nepal and Bhutan. Acting on intelligence inputs, the agency carried out a massive search operation on October 8 in connection with a racket linked to cross-border smuggling and foreign exchange violations through the India-Bhutan and India-Nepal routes.

Teams from ED’s Kochi zonal office conducted simultaneous searches at 17 locations in Kerala and Tamil Nadu under the provisions of the Foreign Exchange Management Act (FEMA).

#Watch Kerala The Kochi zonal office of the Enforcement Directorate is conducting search operations under the Foreign Exchange Management Act (FEMA), 1999 at 17 locations in Kerala and Tamil Nadu in connection with the ongoing investigation into smuggling of high-end luxury vehicles… pic.twitter.com/T5L07j6KCO

– ani (@ani) 8 October 2025

This action has been taken following an ongoing investigation into illegal import and sale of high-end vehicles and related foreign exchange transactions. According to sources, investigators busted an organized network involved in import and registration of luxury cars like Land Cruisers, Defenders and Maseratis using forged documents. The syndicate allegedly used fake papers issued by the Indian Army, the US Embassy and the Ministry of External Affairs to fraudulently register vehicles with regional transport offices (RTOs) in Arunachal Pradesh, Himachal Pradesh and other states. These cars were reportedly sold at discounted prices to film actors and high net worth individuals (HNIs).

The ED said the investigation has revealed violations of sections 3, 4 and 8 of FEMA related to unauthorized foreign exchange transactions and cross-border transactions through hawala channels.

Officials said the agency is now tracing the money trail, identifying beneficiaries and tracking the movement of foreign currency linked to the racket.

The searches covered the premises of Ernakulam, Thrissur, Kozhikode, Malappuram, Kottayam and Coimbatore, including those of actors Prithviraj Sukumaran, Dulquer Salmaan and Amith Chakkalakal as well as some vehicle owners, automobile workshops and dealers. A number of electronic devices, documents and financial records were seized during the operation.