Read Time: 04 minutes

The Delhi High Court today issued notice on Newsclick and its Founder Prabir Purkayastha’s plea seeking quashing of an FIR in connection with a money laundering case registered by the Enforcement Directorate against them.

The single bench Judge of Justice Mukta Gupta has directed the ED to supply a copy of the Enforcement Case Information Report (ECIR) registered against them.

The Court has also said that the interim protection granted by the vacation bench led by Justice Jasmeet Singh to NewsClick and Purkayastha till July 5 would continue further.

The Court had earlier issued notice in a separate petition by the news portal seeking quashing of the case lodged by the Economic Offence Wing, on which the Court had sought response from the Delhi Police.

Consequent to an FIR lodged by the Delhi Police, the Enforcement Directorate had raided Newsclick’s offices and the homes of its editors in February of this year and conducted search and seizure activities at the said premises.

The FIR alleged that Newsclick  received Foreign Direct Investment (FDI) to the tune of Rs 9.59 crores from one M/s Worldwide Media Holdings LLC USA during the year 2018-19 which was made by overvaluing the shares of the company.

It was further alleged  that over 45 per cent of the said  investment was siphoned off for the payment of salary/consultancy, rent and other expenses, alleged to have been made for ulterior motives.

The company is therefore alleged to have violated the FDI and other laws thereby causing loss to the government exchequer.

Case Title: PRABIR PURKAYASTHA Vs. DIRECTORATE OF ENFORCEMENT / M.S. PPK NEWSCLICK STUDIO PVT. LTD & ANR Vs UNION OF INDIA AND ANR

 Also Read: https://lawbeat.in/news-updates/justice-subramonium-prasad-delhi-hc-rec…