Shah Rukh Khan gets second ED summons in six months

For the second time in six months, the Enforcement Directorate (ED) has slapped a notice summoning Bollywood superstar Shah Rukh Khan in connection with the investigation of the valuation of shares of his co-owned Indian Premier League (IPL) cricket team, Kolkata Knight Riders (KKR), sources said in Mumbai on Tuesday.

The ED is investigating whether the shares of the team were allegedly undervalued as it could be violative of the provisions of Foreign Exchange Management Act (FEMA).

In May, the ED had served a notice to the team, but Khan did not appear before the agency in response to it.

But this is not a new problem. In 2011, Khan was quizzed over allegations that KKR had received illegal money from foreign tax havens.

The company Knight Riders Sports Pvt Ltd, which runs the KKR team, is jointly owned by Khan, actress Juhi Chawla and her husband Jay Mehta.

It is alleged that five million shares of KRSPL were sold to Mehta’s company, Sea Islands Investments Ltd, based in Mauritius in 2008 and reportedly undervalued.

Khan is currently away on a filming assignment and seeking time to appear before the investigating agency.

In 2011, Khan was asked to provide relevant documents including the those for the purchase of players, revenues, advertising details and the team’s shareholding pattern.