Tulip Star Hotels Ltd vs Special Director Of Enforcement

The Supreme Court upheld the penalties imposed under Section 50 of the Foreign Exchange Regulation Act, 1973 (FERA) for violations of Sections 6(4), 6(5), 7, and 8 of FERA, as well as the Reserve Bank of India's Memorandum of FLM. The Court found that the Appellants, despite being licensed Full Fledged Money Changers, had engaged in unauthorized foreign currency transactions, thus confirming the decisions of the Original Authority and the Appellate Tribunal. The appeals were dismissed, affirming the legality of the penalties imposed.