Crypto bourse gets ED notice
ED NOTICE TO CRYPTOCURRENCY EXCHANGE COMPANY WAZIRX
New Delhi: The Enforcement Directorate said it has issued a show cause notice to the country's largest cryptocurrency exchange for undertaking transactions worth over `2,790 crore in alleged violation of the FEMA rules. WazirX, registered under the company name Zanmai Labs, was founded in 2017.
Enforcement Directorate (ED) officials conducted searches at some of the offices of Madhucon Group belonging to MP Nama Nageswara Rao on Friday, sources said. The searches were related to alleged fund diversion of Ranchi Expressway Limited, a Madhucon Group company.
The searches began at around 7 am on Friday in six locations at Madhucon Infra office in Jubilee Hills, the residence of Nageswara Rao, the TRS Khammam MP, residences of Ranchi Expressway chairman and managing dirrector K. Srinivasa Rao, directors N. Seethaiah and N. Prithvi Teja. The directors allegedly indulged in fraudulent acts to get a total loan amount of `1,029.39 crore released
The Enforcement Directorate (ED) issued a show-cause notice to cryptocurrency exchange WazirX and its directors under Foreign Exchange Management Act (FEMA) on Friday for transactions involving cryptocurrency worth `2,790 crore.
According to sources, ED had issued notices to director Nischal Shetty and Sameer Hanuman Mhatre of Zanmai Labs that runs WazirX. ED officials are probing Fema violations on the basis of the ongoing money laundering investigation into
by the consortium of banks but no progress was made on the project
Chinese owned illegal online betting applications.
During the investigation, the ED found that users of WazirX via its pool account, had received cryptocurrency worth `880 crore from Binance accounts and transferred out cryptocurrency worth `1,400 crore to Binance accounts.
None of these transactions are available on the blockchain for audit and it was found that the WazirX clients could transfer 'valuable' cryptocurrencies to any person irrespective of location and nationality without documentation, the ED said.
with the loan becoming a non-performing asset in 2018.