ED closes FEMA probe against Myntra after ₹2.88 lakh compounding settlement

Enforcement Directorate has dropped its foreign exchange probe against Flipkart-owned Myntra after the fashion retailer paid ₹2.88 lakh to compound two FEMA violations covering roughly ₹46 crore in transactions, following RBI's April 20 compounding order.

— Source publishedThu, 4 Jun, 2026, 20:30 IST·First seen Thu, 4 Jun, 2026, 20:33 IST·Source The Hindu BusinessLine

What happened

ED closed its FEMA probe against Flipkart-owned Myntra after the fashion retailer paid ₹2.88 lakh to compound two alleged foreign exchange violations involving

Key facts

  • ₹2.88 lakh penalty
  • ₹46 crore transactions
  • April 20 compounding order

Why this matters

The settlement clears a diligence flag on Myntra's FEMA history, smoothing any restructuring, secondary, or listing transaction involving the Flipkart fashion arm.