Chinese loan app case: ED freezes funds of payment gateways Paytm, Easebuzz, Razorpay, Cashfree
The Enforcement Directorate has carried out search operations against Chinese-controlled loan apps and seized funds worth ₹46.67 crore kept in payment gateways Easebuzz, Razorpay, Cashfree, and Paytm.
The Enforcement Directorate has carried out search operations against Chinese-controlled loan apps. Searches were conducted at multiple premises of the accused in Delhi, Mumbai, Ghaziabad, Lucknow, and Gaya, according to an official statement issued by ED on September 16.
Earlier on September 3, the ED also conducted search operations at Bengaluru premises of these online payment gateways as part of an ongoing probe against “illegal" instant smartphone-based loans “controlled" by Chinese persons.
During the searches, it seized an amount of ₹17 crore which was kept “in merchant IDs and bank accounts of these Chinese persons-controlled entities". The modus operandi of these entities is that they used forged documents of Indians and made them dummy directors of the entities and generated proceeds of crime
The case is based on 18 FIRs registered by Bengaluru Police’s cyber crime station against numerous entities/persons in connection with their involvement in extortion and harassment of people who had availed small loans through the mobile apps being run by the entities/persons.
Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!