ED Raids Sequoia Capital's Bengaluru Office for Flouting FDI Norms
The Enforcement Directorate (ED) raided Sequoia Capital office in Bengaluru on Monday, in case of an ongoing investigation of Vasan Healthcare, a company in which the venture had invested.
"Yesterday's ED visit is part of the ongoing investigation into Vasan where Sequoia India is a minority investor along with others. Sequoia has adopted a policy of full compliance with that investigation & has dutifully responded to governmental inquiries recd to date. We continue to co-operate with the ongoing investigation on Vasan," Sequoia India said over a series of three tweets.
As per media reports, Sequoia's office raided for violating FDI norms.
Apart from Sequoia Capital, GIC (formerly Government of Singapore Investment Corporation) and Westbridge Capital Partners have also invested in the Chennai-based Vasan Healthcare that was founded by a former healthcare unicorn, A.M. Arun who runs a chain of eye-care and dental clinics across India.
According to a LiveMint feature which explores the reasons why the company imploded exploring its connection to to Advantage Strategic Consulting, a company operated by Karti Chidambaram, son of former union home and finance minister P Chidambaram. Advantage Strategic Consulting are already under the scanner in the 2G scam case, raided by ED and the Crime Branch of India for flouting FDI rules in February 2016.
