Investigation Details
The Enforcement Directorate (ED) has summoned three independent directors of Care Health Insurance, a subsidiary of Religare Enterprises, in a money laundering investigation. The case involves a complaint against the Burman family and former Religare promoters. The ED is reviewing employee stock options and board approvals since FY19.
Context and Developments
The probe follows a FIR by the Mumbai police’s Economic Offences Wing, accusing several individuals of financial misconduct. Care Health’s chairperson, Rashmi Saluja, is in a takeover battle with the Burman family for control of Religare Enterprises. The ED aims to verify allegations of money laundering in the open offer.
Specific Allegations and Actions
The summoned directors are SL Mohan, Asha Nair, and Hamid Ahmed. They are required to provide details on Esops issued since FY19 and related board approvals. The ED will determine if the allegations of financial misconduct hold merit and whether any money laundering occurred.
IRDAI Directive
Last month, IRDAI directed Care Health Insurance to buy back 7.56 million shares allotted to Saluja for violating regulatory rules.
