Razorapay, Paytm, Cashfree raided by ED in Chinese loan app case
New Delhi: The Directorate of Enforcement (ED) conducted searches at Paytm Gateways, Razorapay and Cashfree Payments premises in an on-going probe related to instant Chinese loan app that is being run by Chinese-owned companies, ED said on Saturday.
According to a statement issued by the probe agency, six premises in Bengaluru were searched.
The case is based on 18 Nos of FIRs registered by Cyber Crime Police Station, Bengaluru City against numerous entities/persons in connection with their involvement in extortion and harassment of the people who had availed small amounts of loans through the mobile apps being run by those entities/persons, it stated.
During enquiries, it emerged that these entities were controlled/operated by Chinese Persons. The modus operandi of these entities was by using forged documents of Indians and making them as dummy directors of those entities, they were generating proceeds of crime. It came to notice that the said entities were doing their alleged suspected/illegal business through various Merchant IDs/Accounts held with Payment Gateways/banks, claimed ED.
The premises of Razorpay Pvt Ltd, Cashfree Payments, Paytm Payment Services Ltd and entities controlled/operated by Chinese Persons were covered in the search operation. During the search operation, it was noticed that the said entities were generating proceeds of crime through various Merchant IDs/Accounts held with Payment Gateways/banks and they were also not operating from the addresses given on the MCA website/registered address and having fake addresses, claimed ED.
An amount of Rs 17 crore were seized in merchant IDs and bank accounts of these Chinese persons-controlled entities. (UNI)