Bengaluru 25 August : The Enforcement Directorate (ED) on Thursday conducted a search of the premises of the most prominent cryptocurrency exchange CoinSwitch Kuber for alleged Foreign Exchange Management Act (FEMA) violations.Coindesk reported it, using an ED official that five locations linked to CoinSwitch Kuber were searched, including the homes of directors and the CEO, as well as the official residences.
A spokesperson for the company has said to IANS that they receive inquiries from different government agencies.
“Our strategy has always been one of transparency.
Crypto is an emerging industry with plenty of potential, and we constantly communicate with every stakeholder,” the spokesperson added.
According to reports according to reports, the ED is investigating “multiple possible violations under FEMA and other agencies that are linked to CoinSwitch”.
As as many as 10 cryptocurrency exchanges are on the ED surveillance for their possible involvement in money laundering of approximately 10 billion rupees.
The agency recently frozen Vauld’s crypto lending platform’s bank assets worth 370 crore due to its “predatory lending practices”.
The ED conducted investigations at several premises of Yellow Tune Technologies Pvt Ltd in Bengaluru and also frozen assets belonging to the Flipvolt cryptocurrency exchange that runs Darshan Bathija’s Vauld.
The company, like several other players offering crypto services in India, had received summons from the ED office in July, “seeking certain information/documents”.
The earlier this year, the ED blocked the bank assets of the crypto exchange WazirX valued at the sum of 64.67 crore.
The ED had on the 5th of August conducted a search of the premises of one of the Directors of Zanmai Lab Pvt Ltd which operates the popular cryptocurrency exchange WazirX and issued an order to block their bank accounts in the amount of the amount of 64.67 crore.
This led to the ED to close 10 cryptocurrency exchanges in the country.
na/vd
