FEMA penalties, KYC failures and natural justice objections: company liability upheld while personal liability of officer was set aside

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....Procedural challenge based on delay, Rule 4 non-compliance and denial of cross-examination failed because the Tribunal found a prior investigation, notice through summons, supply of relied-upon documents, replies, hearing and recorded satisfaction to proceed, with no prejudice shown. An authorised person under FEMA was held amenable to penalty because the statutory definition of "person" is broad and Chapter III does not grant immunity from Section 13 action. The company's issuance of forex prepaid cards without verifying actual travellers, passports or KYC particulars, and acceptance of funds from third parties, supported the findings of contraventions. Personal liability of the company officer was rejected because he was not in charge during the relevant period and could not be treated as a de facto declarant.....