The Enforcement Directorate (ED) recently conducted raids at the residence of Hero MotoCorp CEO Pawan Munjal following the Directorate of Revenue Intelligence’s (DRI) case. The DRI had apprehended one of Munjal’s close aides in possession of undeclared foreign currency, prompting the money laundering probe.
This is not the first instance of scrutiny faced by Hero MotoCorp. Earlier this year, the Income Tax department conducted raids at the company’s premises in Delhi-NCR as part of an investigation into alleged tax evasion.
Pawan Munjal played a pivotal role in Hero MotoCorp’s global expansion after the company parted ways with Honda in 2011. He holds executive positions in industry bodies like the Confederation of Indian Industry (CII) and the Society Indian Automobile Manufacturers (SIAM).
Hero MotoCorp achieved the title of the world’s largest two-wheeler manufacturer in 2001, maintaining this position for two consecutive decades. With a presence in approximately 40 countries across Asia, Africa, and South and Central America, the company has established itself as a major player in the global two-wheeler market.
As the investigation unfolds, the market has shown a reaction, with Hero MotoCorp’s shares declining by 4 percent at the time of writing this article, trading at 3,066 apiece on the BSE. The situation will be closely monitored by stakeholders and industry observers to see how it unfolds and impacts the company’s operations and reputation.
