Indian law enforcement accuses WazirX exchange of helping launder $130m
India's Law Enforcement Directorate, which investigates financial crime, has frozen WazirX bank accounts while it examines transfers from instant loan companies to international wallets.
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India's Enforcement Directorate (ED), the agency responsible for financial crimes, is investigating cryptocurrency exchanges suspected of handling transactions that sent more than 10 billion rupees, or approximately $130 million, from companies under investigation to international portfolios. At least ten crypto exchanges are believed to be involved, according to an official who spoke to The Economic Times, and the bank accounts of the WazirX exchange have been frozen, the newspaper reported.
Transactions of up to Rs. snapshots. These companies often had ties to China. Although Know Your Customer/Anti-Money Laundering (KYC/AML) procedures showed the transactions to be suspicious, no enhanced due diligence was performed and no suspicious transaction report was filed with the ED , the agency said.
Related: Crypto tax deters 83% of Indian investors from trading crypto: WazirX report
The ED froze WazirX bank accounts, containing around 647 million rupees or $8.1 million last week, alleging the exchange helped around 16 fintechs under investigation for money laundering silver. WazirX released a statement on its blog on Tuesday “on behalf of Zanmai Labs Pvt. Ltd,” which he said cooperates with WazirX with Binance, saying all users are subject to KYC/AML processes and the exchange is fully cooperating with law enforcement. "For each transaction, we are able to produce the relevant user's KYC details," the blog post says.
India's Law Enforcement Directorate, which investigates financial crime, has frozen WazirX bank accounts while it examines transfers from instant loan companies to international wallets.
New
India's Enforcement Directorate (ED), the agency responsible for financial crimes, is investigating cryptocurrency exchanges suspected of handling transactions that sent more than 10 billion rupees, or approximately $130 million, from companies under investigation to international portfolios. At least ten crypto exchanges are believed to be involved, according to an official who spoke to The Economic Times, and the bank accounts of the WazirX exchange have been frozen, the newspaper reported.
Transactions of up to Rs. snapshots. These companies often had ties to China. Although Know Your Customer/Anti-Money Laundering (KYC/AML) procedures showed the transactions to be suspicious, no enhanced due diligence was performed and no suspicious transaction report was filed with the ED , the agency said.
Related: Crypto tax deters 83% of Indian investors from trading crypto: WazirX report
The ED froze WazirX bank accounts, containing around 647 million rupees or $8.1 million last week, alleging the exchange helped around 16 fintechs under investigation for money laundering silver. WazirX released a statement on its blog on Tuesday “on behalf of Zanmai Labs Pvt. Ltd,” which he said cooperates with WazirX with Binance, saying all users are subject to KYC/AML processes and the exchange is fully cooperating with law enforcement. "For each transaction, we are able to produce the relevant user's KYC details," the blog post says.
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