India-based crypto trading platform WazirX has announced that the country’s financial crime watchdog, the Directorate General of Enforcement (ED), has unblocked bank accounts that allow the public to The company continues its banking operations. Back in August, they conducted a search for one of the directors of Zanmai Labs, which runs WazirX in India, and issued a freeze order to freeze their bank balance in Rs. 64.67 crores. This involves the ED’s investigation of 16 fintech companies and instant loan applications.
The crypto exchange announced in a tweet, “ED has unlocked WazirX’s bank account. Cooperating with investigators, WazirX has provided all necessary details and documents of the companies. company allegedly used the WazirX platform.”
Update on ED investigation:
ED has unfrozen WazirX bank accounts. With the cooperation of the investigators, WazirX provided all the necessary details & documents of the companies that allegedly used the WazirX platform.
More about thishttps://t.co/DU36aT2oJA
– WazirX: Bitcoin Exchange India Ka (@WazirXIndia) September 12, 2022
The exchange clarified in a blog post states, “The Department of Enforcement (ED) conducted an investigation of 16 fintech companies and instant lending apps. Some of them happened to be using the WazirX platform. WazirX cooperated with investigators. by providing them with all the details, information, and documents of the companies accused of using the WazirX platform.”
“The company further clarified that it has no connection with any of the alleged fintech organizations and instant lending apps that appear to be the subject of ED Investigation, and is performing KYC/AML checks even though there is no legal obligation to do so. WazirX is like any other intermediary whose foundation may have been misused. “
News of the ED investigation resulted in Binance virtually rejecting WazirX. Binance CEO Changpeng Zhao tweeted that the transaction is complete acquisition is never completed. “On November 21, 2019, Binance published a blog post stating that they had ‘purchased’ WazirX – this transaction was never completed,” Zhao explained. “Binance has never – at any time – owned any shares of Zanmai Labs, the organization that runs WazirX.”
Nischal Shetty, co-founder of WazirX, rebuts Zhao’s tweet “WazirX was acquired by Binance. Zanmai Labs is an Indian institution owned by me and my co-founders. Zanmai Labs has a license from Binance to operate INR-Crypto pairs in WazirX. Binance operates crypto for crypto pairs, handles crypto withdrawals.”
