India seizes $46 million from crypto exchange Vauld in money-laundering probe

India Seizes $46m from Crypto Exchange Vauld →

Manish Singh, writing on Techcrunch:

Flipvolt Technologies, the India registered entity of Singapore-headquartered Vauld, was used to deposit 3.7 billion Indian rupees by 23 entities including non-banking financial companies and fintech firms into the wallets controlled by Yellow Tune Technologies, the Enforcement Directorate said Friday of its ongoing investigation.

The agency said the Indian entity of Vauld maintains “very lax KYC norms, no EDD mechanism, no check on the source of funds of the depositors, no mechanism of raising STRs, etc,” factors that led the accused firms in “avoiding regular banking channels” and “easily take out all the fraud money in the form of crypto assets.”

The Indian government has generally been against cryptocurrency, and cases like these are ensuring that doesn’t change for a long time.