Court Acknowledges New Complaint Against UAE Fintech for Illegal Betting
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Synopsis
On April 3, a Special Court in Delhi recognized a Supplementary Prosecution Complaint against five individuals linked to a UAE-based Fintech company involved in money laundering from illegal betting and cyber frauds. The ED has attached assets worth over Rs 8.5 crore in connection with the case.
Key Takeaways
- UAE Fintech company under investigation for money laundering.
- Assets worth Rs 8.5 crore attached by the Enforcement Directorate.
- Charges involve illegal betting and cyber frauds.
- Supplementary Prosecution Complaint filed in PMLA court.
- ED's ongoing investigations into various cybercrimes.
New Delhi, April 3 (NationPress) In a troubling development for a controversial UAE-based Fintech firm, a Special Court in Delhi has acknowledged a Supplementary Prosecution Complaint against five individuals implicated in money laundering connected to proceeds from illegal betting and various cyber frauds.
The payment platform PYYPL (pronounced as “people”) is accused of breaching provisions of PMLA, 2002 and engaging in the laundering of funds generated through investment scams, illegal betting, and part-time job frauds. The Enforcement Directorate (ED) has attached assets valued at over Rs 8.5 crore belonging to the company.
On March 28, the ED submitted a Supplementary Prosecution Complaint against the five accused in the PMLA court at Rouse Avenue, adhering to the provisions of PMLA, 2002 regarding laundering activities.
The investigation agency is looking into funds generated from various cybercrimes, including investment frauds, illegal betting, and part-time job scams, facilitated by the PYYPL payment platform, a Fintech company based in the UAE.
The chargesheet for this case was filed on January 25, and the court has taken notice of it.
Previously, during the investigation, the ED had attached the company’s private crypto wallet valued at Rs 1.36 crore, properties worth Rs 7 crore, and seized Rs 47 lakh.
In a different case, the ED in Jalandhar confiscated immovable properties valued at Rs 22.02 crore from Rana Sugars Ltd under section 37A of the Foreign Exchange Management Act (FEMA), 1999, for illegally holding foreign exchange outside India in violation of Section 4 of FEMA, 1999.
Meanwhile, the ED's Imphal Sub-zonal office has made progress toward the restitution of assets to deceived investors in a PMLA case against Sanasam Jacky Singh and other officials of the Lamjingba Group of Companies.
A writ petition titled “Wahengbam Pratap Singh and others versus Union of India” was submitted to the High Court of Manipur.
Considering the ED’s response, the High Court ordered the Special Court (PMLA), Imphal East, to evaluate the claimants' requests for the restoration of properties, strictly following applicable laws.
The Special Judge, PMLA, issued an order on March 21 for a public notice in newspapers to invite claims from interested parties, thereby facilitating the restitution process.
