Kochi: The Serious Fraud Investigation Office (SFIO) has raided the centres of a few electric vehicle makers as part of a probe over alleged misappropriation of FAME II scheme fund, media reports said.
The SFIO, under the Ministry of Corporate Affairs, carried out searches in Hero Electric, Benling India and Okinawa Autotech.
The companies are facing charges of allegedly adopting fraudulent ways to avail of subsidies of Rs 297 crores under the Faster Adoption and Manufacturing of Electric Vehicles (FAME) II scheme of the Ministry of Heavy Industries.
The government introduced the FAME II scheme in 2019 with an outlay of Rs 10,000 crore to provide subsidies to two-wheeler companies making electric vehicles.
The guidelines permitted incentives for manufacturing electric vehicles using components made in India among other things based on the Phased Manufacturing Program (PMP) guidelines under the scheme.
The SFIO investigation showed the three companies either directly or indirectly imported several restricted parts under the PMP guidelines from China, the reports said.
SFIO raids E scooter firms
