Troubles for crypto exchange WazirX increased, ED freezes assets worth ₹ 64.67 crore

Troubles for crypto exchange WazirX increased, ED freezes assets worth ₹ 64.67 crore

Highlights

Strong action against crypto exchange WazirX
ED freezes bank deposits worth Rs 64.67 crore
Allegations of wrongful earning through an app that provides instant loans

New Delhi. The problems of WazirX, a unit of the world’s largest digital currency exchange Binance, have increased. In fact, the Enforcement Directorate, the central agency that takes strict action against financial crimes, said on Friday that it has frozen bank deposits of Rs 64.67 crore in connection with the investigation of money laundering case against WazirX.

WazirX accused of violating FEMA
The ED said that it has conducted raids in Hyderabad on August 3 against Janmai Lab Pvt Ltd, the owner of WazirX. The agency’s investigation against the crypto exchange is related to the ongoing investigation against several Chinese lending apps (mobile applications) running in India. The ED had last year accused WazirX of violating the Foreign Exchange Management Act (FEMA).

Also read- ED sent notices to major crypto exchanges, sought various types of information

Allegations of wrongful earning through an app that provides instant loans
The agency said, “WazirX Director Samir Mhatre had full access to WazirX’s database even when he was remote. Despite this, he is not giving details of transactions related to crypto assets. These assets have been purchased from the proceeds of crime committed through an app that provides instant loans.

Also Read – Crypto Exchange Vault Stopped All Trading Activity, Stranded Indians Money

The ED said that movable assets of Rs 64.67 crore of WazirX have been frozen under the Money Laundering Act.

Tags: Cryptocurrency, Enforcement directorate

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