2 min readNew DelhiFeb 17, 2026 05:33 AM IST
The Enforcement Directorate (ED) has imposed a penalty of Rs 184 crore on media company PPK NEWSCLICK Studio Private Limited and its founder-editor Prabir Purkayastha for alleged violations of the Foreign Exchange Management Act (FEMA), 1999.
The order specifies that the company that owns the portal NewsClick has been penalised for an amount of Rs 120 crore, while Purkayastha has been issued the same order for Rs 64 crore of alleged violations, the ED said.
The order followed a complaint filed under Section 16 of FEMA by the ED, alleging that the company received and utilised foreign funds in violation of various provisions of the law. “After examining evidence, records, and submissions from the parties, the adjudicating authority concluded that the firm and its director had contravened foreign exchange rules substantially, deliberately, and systematically, in nature, involving large-scale foreign exchange transactions and breach of statutory declarations furnished to regulatory authorities,” an ED spokesperson said.
“The authority also found that NewsClick received FDI of approximately Rs 9.59 crore during 2018–19 by misrepresenting the nature of its business in statutory filings, thereby avoiding prescribed sectoral conditions and entry-route requirements. Further, foreign inward remittances amounting to Rs 82.63 crore, received between financial years 2018–19 and 2023–24, were allegedly misclassified as export proceeds without proper documentation or mandatory SOFTEX form submissions,” the spokesperson said.
The ED said the transactions had been “deliberately structured” to defeat the purpose of foreign exchange regulations. “Given the findings, penalties of Rs 120 crore were imposed on PPK Newsclick Studio Pvt. Ltd, and Rs 64 crore on Prabir Purkayastha, under Section 13(1) of FEMA,” the spokesperson said. The adjudicating authority noted that Purkayastha, being in-charge of the company’s affairs during the relevant period, was liable under Section 42 of FEMA. The total penalty amounts to Rs 184 crore.
The ED had first raided the premises of NewsClick, located in the Saidulajab area of the national capital, in September 2021 on charges of money laundering. The agency has recorded the statements of more than 25 people, including Purkayastha’s, in the case.
Purkayastha was arrested on October 3, 2023, by the Delhi Police’s Special Cell under the Unlawful Activities (Prevention) Act. He was released on bail by the Supreme Court in May 2025.
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