Cryptocurrency exchange WazirX said that the Enforcement Directorate (ED) has unfrozen its bank accounts, allowing the platform to resume banking operations after over a month. However, the company is still under probe.
Last month, WazirX’s bank account was frozen by the ED as part of an ongoing probe into alleged fraud on instant loan applications, which provide short-term loans.
“After an in-depth internal investigation, WazirX noticed that most of the users whose information was sought by ED were already identified as suspicious by WazirX internally and were already blocked in 2020-2021,” the company said in a statement.
The ED has been conducting an investigation into 16 fintech companies and instant loan apps, some of which happened to use the WazirX platform. The company said it has been cooperating with the investigators by providing them with all the necessary details, information, and documents of the alleged accused companies, which used the WazirX platform.
The company further clarified that it has no association with any of the alleged accused fintech or instant loan app entities that appear to be the subject of an ED investigation.
“WazirX has a no-tolerance policy towards any illegal activities using its platform and mandates its users to use it for legal and bonafide purposes only. On WazirX, the users undertake to operate as per all the applicable laws,” the platform said.
Published on
September 12, 2022
