ED Imposes Rs 184 Crore FEMA Penalty on NewsClick, Editor

New Delhi: The Enforcement Directorate (ED) has imposed a penalty of Rs 184 crore under the Foreign Exchange Management Act (FEMA) on NewsClick news portal and its editor-in-chief Prabir Purkayastha, sources said on Monday.

According to the decision, PPK NewsClick Studio Private Limited, the company that owns the portal, was fined Rs 120 billion, while Purkayastha was fined Rs 64 billion for alleged violations.

ED found that the organization and its editor-in-chief violated FEMA provisions in two respects: misrepresentation of foreign direct investment funds and alleged misrepresentation of services and exports.

The agency had conducted searches in September 2021 at the portal’s premises in Saidulajab in New Delhi in connection with a money laundering investigation. During the investigation, statements of more than 25 people, including Purkayastha, were taken.

In 2023, the BJP cited a New York Times report alleging that the portal was part of a global network receiving funding from American billionaire Neville Roy Singham, who reportedly had links to Chinese government media outlets. Founded in 2009, the portal describes itself as an independent media organization focusing on news related to progressive movements in India and abroad.