The Enforcement Directorate (ED) conducted raids at 17 locations across Kerala and Tamil Nadu on Wednesday, probing a suspected luxury car smuggling network linked to violations under the Foreign Exchange Management Act (FEMA).

Prominent Malayalam actors Prithviraj Sukumaran, Dulquer Salmaan, and Amit Chakkalackal were among those whose properties were searched. The operations spanned Ernakulam, Thrissur, Kozhikode, Malappuram, Kottayam, and Coimbatore, also targeting vehicle owners, workshops, and dealers allegedly involved in importing high-end vehicles such as Land Cruisers, Defenders, and Maseratis from Bhutan and Nepal via illegal channels.

Officials said a Coimbatore-based network allegedly forged documents claiming authorization from the Indian Army, US Embassy, and Ministry of External Affairs to fraudulently register these vehicles in states including Arunachal Pradesh and Himachal Pradesh. These cars were reportedly sold at undervalued rates to high-net-worth buyers, including film personalities.

The ED suspects prima facie violations of FEMA Sections 3, 4, and 8, involving unlawful foreign exchange transactions and hawala payments. The probe follows a recent Customs investigation, which also hinted at possible links to gold and drug smuggling.

As part of ‘Operation Numkhor’ on September 23, Customs seized 36 luxury cars from around 30 locations, including the homes of the three actors. In a related development, the Kerala High Court on Tuesday permitted Dulquer Salmaan to seek provisional release of his seized vehicle, noting that he claimed to have purchased it in good faith, with documents showing shipment by the International Committee of the Red Cross to New Delhi.