Enforcement Directorate (ED) is investigating seven cases wherein cryptocurrency has been used for money laundering and has attached proceeds of crime worth Rs 135 crore, Minister of State for Finance Pankaj Chaudhary informed the Lok Sabha in a written reply.
He added that law enforcement agencies have flagged usage of cryptocurrencies by cybercriminals in the past as well.
“Reports have been received from law enforcement agencies (LEAs) in connection with usage of cryptocurrency with usage of cryptocurrency by cyber criminals. Directorate of Enforcement (ED) is investigating 7 cases under PMLA, 2002 in which cryptocurrency has been used for Money Laundering. Cases investigated by ED under PMLA, reveals that accused have laundered Proceeds of Crime (PoC) through cryptocurrency,” Chaudhary told the Lok Sabha.
The Minister also explained the cases investigated by the ED under the Prevention of Money Laundering Act (PMLA) reveals that the accused in these cases have laundered proceeds of crime (PoC) via cryptocurrencies.
He said, “Investigations conducted by Enforcement Directorate so far, revealed that some foreign nationals and their Indian associates have laundered the PoC through cryptocurrency accounts at certain exchange platforms.”
Chaudhary added that an accused has been arrested by the ED in the year 2020 in one of such cases for facilitating foreign-related accused companies to launder the PoC by converting money generated out of crime into cryptocurrency and thereafter transfer to foreign countries.
