Friday, December 2, 2022
 

Indian Enforcement Agency Raids 5 CoinSwitch Offices in Recent Probe

  • India’s ED has raided 5 premises of crypto exchange Coinswitch Kuber.
  • The watchdog also searched the homes of the company’s directors and CEO, Ashish Singhal.
  • The exchange is suspected of breaking foreign exchange norms and failing to Comply with KYC requirements.

According to a source citing an official from the Enforcement Directorate’s (ED) Bangalore branch, the agency has conducted a raid on the offices of the Indian cryptocurrency exchange CoinSwitch Kuber.  Per the official, searches are being conducted in accordance with the Foreign Exchange Management (FEMA) Act at five locations of the cryptocurrency firm.

The Directorate of Enforcement is a government intelligence and law enforcement organization. The core objective of the agency is touted as enforcing laws, including the Foreign Exchange Management Act and the Prevention of Money Laundering Act.

Furthermore, the ED not only raided the CoinSwitch Kuber offices but also the homes of the company’s directors and CEO, Ashish Singhal.

The publication cites a “source” who claims the cryptocurrency exchange is suspected of breaking foreign exchange norms (when it acquired shares worth over $250 million) and failing to comply with certain “know your customer” (KYC) standards.

When asked for details regarding the search, a CoinSwitch spokesperson noted:

We receive queries from various government agencies. Our approach has always been that of transparency. Crypto is an early stage industry with a lot of potential and we continuously engage with all stakeholders.

Moreover, in July, several key executives of CoinSwitch Kuber left. According to a previous report by Business Today, the company has lost both its Chief Business Officer Sharan Nair and its Chief Financial Officer and senior executive, Krishna Hegde. They decided to leave the cryptocurrency exchange to launch their own company.

In addition to CoinSwitch, the ED is also investigating Zanmai Labs, which operates the cryptocurrency exchange WazirX, on suspicion of money laundering. As part of this inquiry, the ED issued a search warrant on one of WazirX’s board of directors. The government body has also issued an order to freeze their financial accounts worth $8.1 million (Rs 64.67 crore).

  • India’s ED has raided 5 premises of crypto exchange Coinswitch Kuber.
  • The watchdog also searched the homes of the company’s directors and CEO, Ashish Singhal.
  • The exchange is suspected of breaking foreign exchange norms and failing to Comply with KYC requirements.

According to a source citing an official from the Enforcement Directorate’s (ED) Bangalore branch, the agency has conducted a raid on the offices of the Indian cryptocurrency exchange CoinSwitch Kuber.  Per the official, searches are being conducted in accordance with the Foreign Exchange Management (FEMA) Act at five locations of the cryptocurrency firm.

The Directorate of Enforcement is a government intelligence and law enforcement organization. The core objective of the agency is touted as enforcing laws, including the Foreign Exchange Management Act and the Prevention of Money Laundering Act.

Furthermore, the ED not only raided the CoinSwitch Kuber offices but also the homes of the company’s directors and CEO, Ashish Singhal.

The publication cites a “source” who claims the cryptocurrency exchange is suspected of breaking foreign exchange norms (when it acquired shares worth over $250 million) and failing to comply with certain “know your customer” (KYC) standards.

When asked for details regarding the search, a CoinSwitch spokesperson noted:

We receive queries from various government agencies. Our approach has always been that of transparency. Crypto is an early stage industry with a lot of potential and we continuously engage with all stakeholders.

Moreover, in July, several key executives of CoinSwitch Kuber left. According to a previous report by Business Today, the company has lost both its Chief Business Officer Sharan Nair and its Chief Financial Officer and senior executive, Krishna Hegde. They decided to leave the cryptocurrency exchange to launch their own company.

In addition to CoinSwitch, the ED is also investigating Zanmai Labs, which operates the cryptocurrency exchange WazirX, on suspicion of money laundering. As part of this inquiry, the ED issued a search warrant on one of WazirX’s board of directors. The government body has also issued an order to freeze their financial accounts worth $8.1 million (Rs 64.67 crore).

 

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