7 October 2022
The Enforcement Directorate of India (ED) is conducting its back-to-back inquiry over many digital asset exchange platforms. Recently, it raided Singapore-based crypto exchange, Vauld.
ED conducted searches at the local entity of Vauld in Bangalore. They have issued a freezing order to freeze Vauld’s bank balances and payments gateway balances. These frozen assets value around Rs 370 crore (approx $46 million).
However, Vauld has something else to say as they have issued its statement over the claims pressed by the ED. It stated that several crypto exchanges received a summons from the anti-money laundering agency in July 2022. The ED asked for certain details and documents.
The firm claimed that they completely cooperated with the ED in providing all required documents. At the same time, it is unfortunate that the agency proceeded to freeze the assets despite cooperation. As per reports, $25 million worth of crypto assets in the pool wallets are frozen.
Vauld is against the freezing order as ED specifically called out to that one customer that availed their services. However, that account was deactivated.
Vauld is planning to fight a legal battle to protect the interest of the customers and the company. The exchange claims that it e strictly follows KYC regulations in every country. Further, it stated that they fully cooperated with the ED and will continue to do that.
While ED’s report states that the company’s promoters are untraceable. It was found that some shell entities were made by some Chinese nationals. However, new bank accounts were also being opened in the name of dummy Directors. These suspects left India in December 2020.
Disclaimer: The author’s thoughts and comments are solely for educational reasons and informative purposes only. They do not represent financial, investment, or other advic