Will withdraw summons issued to KIIFB, Thomas Isaac; ED tells High Court

KOCHI: The ED has informed the High Court that it will withdraw the summons issued to KIIFB officials and former minister Dr Thomas Isaac to find out whether there was any violation of the Foreign Exchange Management Act (FEMA) in the issuance of masala bonds abroad. The single bench recorded this explanation and ended further proceedings in the petitions filed by Thomas Isaac, KIIFB CEO KM Abraham and Joint Fund Manager Anie Jula Thomas challenging the ED's action of sending summons continuously.

Meanwhile, Justice Devan Ramachandran did not allow KIIFB's request to prohibit the investigation. This is in a situation where ED has not disclosed the investigation details. The court said that the ED should not conduct any investigation which is not related to the facts. The single bench also stated that it did not examine whether ED should continue the investigation on Masala bond or not in the petition.

Thomas Isaac filed the petition stating that it was not legal to issue summons asking for details including personal information. KIIFB alleged that the ED was harassing it by sending continuous summons.