CaratLane contests ED notice on alleged FEMA violation

CaratLane Trading, now majority owned by the Tata Group’s Titan, has challenged a show-cause notice (SCN) from the Directorate of Enforcement (ED) alleging that it had violated rules between 2011 and 2014 by receiving foreign direct investment (FDI), said people with knowledge of the matter.

This predates Titan’s investment in CaratLane. Titan said recently it’s raising its stake in CaratLane to 98.28% by acquiring 27.2% more from founder Mithun Sacheti and his family.