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ED searches at luxury car dealer’s premises in Hyderabad

In Hyderabad, India’s Enforcement Directorate (ED) raided luxury car dealer Basarath Ahmed Khan’s properties on Friday, probing alleged violations of the Foreign Exchange Management Act (FEMA). The ED’s Hyderabad team hit his upscale home in Jubilee Hills, his Car Lounge showroom in Gachibowli, and even spots tied to his relatives and friends. The searches wrapped up after about six hours.

This isn’t the first trouble for Khan. Back in May 2025, the Directorate of Revenue Intelligence (DRI) in Ahmedabad nabbed him over a customs duty evasion scheme involving high-end imported cars. Khan reportedly sold these flashy vehicles to politicians, business bigwigs, and celebrities. Now, central agencies are digging into who bought them and if anyone dodged taxes on those luxury rides.

Union Minister of State for Home Affairs Bandi Sanjay Kumar cheered the ED’s action on social media platform X. “This crackdown is key to enforcing the rule of law and safeguarding our economy,” he wrote. Sanjay stressed that investigators should probe both sellers and buyers fairly—especially those costing the public purse. He called for no selective accountability, urging a thorough, impartial probe to set a strong example.

Just days earlier, on September 22, Sanjay zeroed in on Bharat Rashtra Samithi (BRS) chief and former Telangana Chief Minister K. Chandrasekhar Rao (KCR), along with his family, for supposed ties to the luxury car scam. “Is the Car Party fueled by smuggled luxury cars?” he quipped on X, taking a jab at BRS’s car election symbol. Sanjay also fired at BRS Working President K.T. Rama Rao—nicknamed “Twitter Tillu” by the BJP leader—questioning why he’s been spotted in Land Cruisers linked to Khan. He raised red flags about the cars’ registrations with KCR family companies, possible undervalued sales, shady payments like benami deals or money laundering, and whether the family profited from the mess. “The truth has to come out—we’ll push relevant departments to investigate,” Sanjay added.

BRS shot back hard, denying any wrongdoing. Party insiders called the car purchase a standard deal and wondered why Sanjay ignored a serving Congress minister who bought from Khan too. BRS leader Krishank Manne went further on social media, posting photos of Chief Minister A. Revanth Reddy and other Congress figures with the dealer. “If buying from this dealer is a crime, then arrest all Congress and BJP leaders who did the same,” Manne wrote. He accused Telangana BJP of shielding Reddy, their “best friend,” while targeting opposition like KTR.


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