The Securities and Exchange Board of India on Monday said it will investigate the Indian firms that were named in the Paradise Papers leak for alleged diversion of funds and lapses, PTI reported.
At least 714 Indians were named in documents leaked from two financial companies – Bermuda’s Appleby and Singapore’s Asiaciti – that help the rich and the powerful move their money abroad and invest it in 19 tax havens.
The information was released by United States-based International Consortium of Investigative Journalists, and 96 newspapers across the world, including The Indian Express, began publishing stories based on it on Monday.
While Sebi and other agencies are already investigating some entities linked to businessman Vijay Mallya – named in the list – the markets regulator said it will look into any fresh disclosure in the leaked documents, PTI quoted senior officials as saying.
The officials explained that the presence of an Indian entity in an offshore, tax-friendly jurisdiction may not be illegal, but it would count as a violation of law if the existence of such entities was not disclosed or if funds were routed to them. Sebi said it will first ask listed companies to give it details about offshore entities and then match these with the firms’ filings to check for irregularities.