The arrest was made as under the Foreign Exchange Management Act (FEMA) regulations, any traveler arriving in India with more than Rs 7,500 and US $5,000 has to declare it to the authorities. However, Mika reportedly didn't make that declaration despite carrying currency more than the permissible limit.
The singer was stopped by the Air Intelligence Unit batch upon his arrival, on inspection apart from the currency, the officials also found two liquor bottles of foreign brand and other branded items exceeding duty-free limit.
Post the detention, the singer was granted bail while citing that he was unaware of the FEMA laws. However, the currency and goods exceeding the duty-free limit have been seized and a case has been filed against him under Foreign Exchange Management Act.