India’s Enforcement Directorate raided eight Bengaluru sites linked to George Soros’ Open Society Foundations over alleged FEMA violations involving ₹300 crore in suspected funding.
In a major crackdown, India’s Enforcement Directorate (ED) carried out raids at eight locations in Bengaluru on March 18, 2025, targeting entities linked to billionaire philanthropist George Soros. The searches are part of an ongoing investigation into suspected violations of the Foreign Exchange Management Act (FEMA).
Why the ED is Investigating
According to initial ED findings, Soros’ Open Society Foundations (OSF) has been on India’s “Prior Reference Category” list since 2016. This means any funding to Indian NGOs required prior clearance from the Ministry of Home Affairs. Officials allege that OSF and its investment arm, the Soros Economic Development Fund (SEDF), bypassed these rules by channeling money through subsidiaries—disguising them as foreign direct investment (FDI) or consultancy fees—before routing the funds to NGOs.
Firms and Funds Under the Scanner
The ED is examining transactions involving at least three Indian companies:
Rootbridge Services Pvt Ltd
Rootbridge Academy Pvt Ltd
ASAR Social Impact Advisors
Between 2020 and 2024, these firms allegedly received nearly ₹25 crore from SEDF. In some cases, money came through compulsorily convertible preference shares (CCPS) or was marked as service fees—despite no documented services being performed.
Authorities also raided premises connected to Aspada Investments Pvt Ltd, a Mauritius-based investment manager that reportedly oversaw SEDF’s Indian portfolio worth ₹300 crore, spread across more than a dozen companies.
NGO and Rights Group Links
Some raided locations are tied to NGOs and human rights organizations, including former members of Amnesty International India and Human Rights Watch, both of which have received OSF funding in the past.
The ED’s probe is ongoing, and further actions are expected as investigators review seized documents and financial records.