On 17 February 2026, the Enforcement Directorate imposed a ₹184 crore FEMA penalty on NewsClick and its founder Prabir Purkayastha, ₹120 crore on the company and ₹64 crore personally, over alleged violations linked to foreign investment and remittances. The portal has faced ED and Delhi Police investigations, including a 2023 UAPA case, over irregular foreign funding, with agencies claiming the funds were used to promote narratives against India’s security interests. The matter remains under legal scrutiny.
NewsClick and its founder have been under sustained investigation since 2020 over alleged violations of FEMA, FDI norms, and UAPA provisions. Chargesheets and enforcement actions have alleged irregular foreign funding including China-linked inflows, with claims that portions were routed toward protest-related activities connected to the 2020 Delhi riots. An April 2024 chargesheet alleged links between Purkayastha and banned outfit Lashkar-e-Taiba – claims subject to judicial determination.
About NewsClick
NewsClick is a New Delhi-based digital news portal founded in 2009 by Prabir Purkayastha, an engineer-turned-activist born in 1949 who studied at universities in Calcutta, Allahabad, and JNU. The owning entity is PPK NewsClick Studio Private Limited, with Purkayastha and Subodh Varma listed as directors. It operates as a multilingual platform in English, Hindi, and Marathi and is affiliated with DIGIPUB, a coalition of digital news organisations. Investigative agencies have accused the organisation of receiving foreign funds in violation of Indian law, publishing anti-India content, and targeting government institutions, security agencies, and national policies through narratives aligned with foreign interests.
#1 26 August 2020 – First FIR: EOW Registers Foreign Funding Case
The Economic Offences Wing of Delhi Police registered an FIR against PPK NewsClick Studio Pvt. Ltd. on 26 August 2020, under IPC Sections 406 (criminal breach of trust), 420 (cheating), and 120B (criminal conspiracy), accusing the company of violating FDI norms and causing losses to the government exchequer.
The Enforcement Directorate simultaneously raided NewsClick’s offices and directors’ residences over alleged foreign remittances totalling ₹30.51 crore including ₹9.59 crore shown as FDI from U.S.-based Worldwide Media Holdings LLC in 2018 and ₹20.92 crore recorded as payments for “export of services.” Entities under scrutiny included Justice & Education Fund Inc (₹19.76 crore – the largest tranche), Tricontinental Ltd Inc, G Span LLC (USA), and Centro Popular Demidas of Brazil.
#2 July 2021 – Delhi High Court Grants Purkayastha Interim Arrest Protection
The Delhi High Court granted interim protection from arrest to Prabir Purkayastha in July 2021 in connection with the foreign funding case arising from the August 2020 FIR filed by Delhi Police’s Economic Offences Wing. The protection was granted while Purkayastha’s legal challenge to the FIR remained pending before the court. NewsClick simultaneously filed a petition seeking quashing of the EOW FIR, contending that the entire case was malafide and that the allegations of FDI and foreign exchange violations were legally unsustainable. The case continued to be litigated even as agency investigations continued to expand in scope and seriousness over the following years.
#3 5 August 2023 – NYT Report Links NewsClick to Neville Roy Singham’s China-Backed Network
An investigative report by The New York Times published on August 5, 2023 revealed that NewsClick had received funding from the network of U.S.-based businessman Neville Roy Singham to promote Chinese government narratives in India. The report stated: “In New Delhi, corporate filings show, Mr. Singham’s network financed a news site, NewsClick, that sprinkled its coverage with Chinese government talking points.” Among the narratives cited was the claim that “China’s history continues to inspire the working classes.” The NYT report triggered immediate political and institutional scrutiny in India, with the findings subsequently cited in parliamentary discussions and used by Delhi Police to justify further investigative action against the organisation and its associates.
#4 3 October 2023 – UAPA Arrests: Purkayastha and Chakravarty Held in 100-Location Raid
Delhi Police’s Special Cell executed coordinated raids at nearly 100 locations across Delhi-NCR, Mumbai, and other cities on 3 October 2023, targeting NewsClick’s office and the residences of over 70 journalists, ex-employees, contributors, and consultants. Founder Prabir Purkayastha and HR head Amit Chakravarty were arrested under UAPA Sections 13, 16, 17, 18, 20, 38, 39, and 40 along with IPC Sections 153A and 120B. The FIR alleged China-routed funds via shell companies funded the 2020 Delhi riots, farmers’ protests, legal aid to Chinese firms including Vivo, and disinformation campaigns on COVID-19 and elections. Devices including phones and laptops were seized. Among locations raided was the residence of comedian Sanjay Rajoura – a past NewsClick contributor who had faced a police complaint in 2020 for mocking Hindu deities.
#5 30 April 2024 – Chargesheet Alleges Purkayastha’s Links with Lashkar-e-Taiba
Delhi Police’s Special Cell filed a chargesheet on April 30, 2024 alleging that NewsClick founder Prabir Purkayastha had active associations with Lashkar-e-Taiba (LeT) – a Pakistan-based terrorist organisation banned under Indian law. The chargesheet stated that Purkayastha had provided financial assistance to LeT operatives. It further alleged that Purkayastha led a coordinated disinformation campaign under the pretext of organising protests against the National Register of Citizens (NRC) and the Citizenship Amendment Act (CAA), using NewsClick’s editorial platform as a vehicle. The charges are presently subject to judicial examination. Purkayastha has contested all allegations against him. These remain among the most serious accusations in the case pending before the courts.
#6 22 May 2024 – Chargesheet Alleges China-Backed Funds Routed to Delhi Riots Accused
Delhi Police’s May 2024 chargesheet alleged direct financial and editorial links between NewsClick and individuals accused in the 2020 Delhi riots. It claimed ₹36 lakh was routed to Sharjeel Imam, who faces sedition charges, for riot incitement, along with payments to SFI activists for CAA protest activities. The chargesheet cited witness statements alleging that NewsClick employee Anand Mangnale transferred funds to Imam and other riot-linked figures. Investigators characterised NewsClick’s editorial coverage of Shaheen Bagh, the riots, and anti-CAA protests as consistently aligning with individuals accused in riot conspiracy cases. Alleged links between Mangnale and George Soros-connected networks via Congress were also cited in the chargesheet.
#7 May 2024 – Supreme Court Invalidates Arrests on Procedural Grounds
The Supreme Court of India in May 2024 invalidated the October 2023 arrests of Prabir Purkayastha and Amit Chakravarty, ruling that Delhi Police had failed to furnish copies of the FIR and written grounds of arrest to the accused’s lawyers within the mandatory 24-hour period – a procedural requirement under the UAPA framework. The court’s ruling was on the narrow ground of procedural non-compliance and did not constitute a finding on the substantive allegations in the chargesheet. Purkayastha was subsequently released. The Supreme Court’s order was widely celebrated by left-liberal media as a vindication of NewsClick, though the criminal and enforcement cases against the organisation and its founder continue before the appropriate courts.
#8 17 February 2026 – ED Imposes ₹184 Crore FEMA Penalty
The Enforcement Directorate on 17 February 2026 imposed a total penalty of ₹184 crore on NewsClick and its founder-editor Prabir Purkayastha for violations of the Foreign Exchange Management Act (FEMA). Of the total, ₹120 crore has been levied on PPK NewsClick Studio Private Limited, the company that owns and operates the portal, while ₹64 crore has been imposed personally on Purkayastha. The penalty order followed enforcement findings that the portal and its editor contravened foreign exchange rules governing foreign investment and remittances. This is among the most significant FEMA penalty orders passed against a media organisation in India. NewsClick and Purkayastha are expected to contest the penalty order before the appropriate tribunal.
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