There has been much money laundering in the cryptocurrency industry in the last few months. It is not good. According to the reports, recently, ED froze more cryptos as a part of their investigations against the mobile gaming app E-nuggets. The latest statement of ED revealed that almost 86 Bitcoin in the balance of one of the most popular cryptocurrency exchanges, Binance, was frozen. You can click on this link to know more on crypto and other investments.
ED blocked more Tether and tokens of WazirX
ED recently revealed in a tweet that they had frozen two more cryptocurrency coins in accordance with the PML Act. According to the tweet, WRX and tether, which are worth approximately 47.66 lakhs, were frozen.
Aamir Khan was the subject of an FIR last year, which served as the basis for the ED’s money laundering investigation into him and other individuals associated with the mobile application E-nuggets. Aamir and Nesar Ahmed built E-nuggets, which were used to defraud people, according to the Indian Authorities. However, the app’s withdrawals were stopped for unknown reasons after the general public contributed a significant sum.
The government agency properly explained that their investigation revealed that the accused had transferred 47.64 lakhs in cryptocurrency via the E-nuggets application. Aamir Khan and his team members had this amount in their WazirX wallet. Under the PML Act, they had frozen the money. The ED also stated that they found 17.3 crores in cash during earlier searches against Aamir Khan, which was pretty shocking.
The main case
Following an investigation into the case involving the mobile gaming application E-nuggets, the Enforcement Directorate (ED) has frozen cryptocurrencies worth Rs 12.83 crore in accordance with the provisions of the Prevention of Money Laundering Act. In the case, the ED had previously seized Rs 17.32 crore in cash.
A Kolkata Police FIR filed against Aamir Khan and others regarding a mobile gaming application served as the basis for filing the case. Aamir Khan, the accused, is currently being held by the police.
A complaint from Federal Bank employees served as the basis for a Kolkata Police FIR that led to the filing of the money laundering case.
The ED claims that the accused, Aamir Khan, launched a mobile gaming app called E-Nuggets with the intention of defrauding the general public. At first, users could withdraw their wallet balances without difficulty and were rewarded with a commission.
More Bitcoin frozen by ED.
According to the news, 86 Bitcoin, or 13.56 crores of dollars, were frozen by ED. According to the previous announcement, the Indian government had frozen approximately 78 Bitcoin on Binance. This represented an additional 8 Bitcoin that the government had frozen in recent times.
WazirX was also thought to have been acquired by this platform two years ago. However, Binance’s chief executive officer made it clear that the acquisition of WazirX never took place and that they never held any shares in the parent company of WazirX, Zanmai Lab.
What do you think of the ED’s response to the money laundering scam? Do you believe that it will be able to recuperate the entire sum? Everyone is wondering about it.
WazirX, the Indian crypto exchange said that India’s ED unfroze its bank account. It was after the active cooperation of the exchange. Also, after the active anti-money laundering checks caused the blocking of suspicious accounts.
Further, the company clarified that it does not have any association. It said that not with any of the alleged accused Instant loan app and Fintech entities. It is what appears to be the ED investigation’s subject. It also carries out the AML/KYC checks even after having no legit obligation to do it. This crypto exchange is like any other intermediary with a misused platform.
Pankaj Chaudhary is the Minister of State of Finance. In another incident in August, he said a few things. One show-cause notice was issued under the FEMA against the crypto exchange. Because of the allegations, it had enabled cryptocurrency remittances priced INR 2790 crore. It was to some unknown locations.
He also claimed that the cryptocurrency exchange was enabling transactions. It was between itself and the international cryptocurrency exchange Binance. It was not recorded on the blockchain.