Daijiworld Media Network - New Delhi

New Delhi, Apr 2: A Delhi Special Court has taken cognizance of a supplementary prosecution complaint in a case alleging money laundering involving proceeds from illegal betting and cyber fraud, placing fresh legal hurdles in the path of UAE-based fintech company PYYPL. The payment platform, pronounced "people," is accused of contravening the Prevention of Money Laundering Act (PMLA), 2002, by facilitating the laundering of funds generated through investment scams, illegal betting, and part-time job frauds.

On March 28, the Enforcement Directorate (ED) filed a supplementary prosecution complaint against five accused in the PMLA court at Rouse Avenue. Earlier, a chargesheet was submitted on January 25, prompting the court to take cognizance of the case. In connection with the investigation, the ED has attached assets of PYYPL valued at over Rs 8.5 crore, which include a private crypto wallet worth Rs 1.36 crore, properties valued at Rs 7 crore, and Rs 47 lakh in cash.

The probe centers on the alleged conversion of funds generated from various cybercrimes using the PYYPL platform. In a related matter, the ED in Jalandhar recently seized immovable properties belonging to Rana Sugars Ltd, worth Rs 22.02 crore, under FEMA for holding foreign exchange outside India in contravention of the law.

In another development, the ED’s Imphal Sub-zonal office has taken steps toward restitution for defrauded investors in a separate PMLA case involving Sanasam Jacky Singh and other officials of the Lamjingba Group of Companies. A writ petition titled “Wahengbam Pratap Singh and others versus Union of India” was filed before the Manipur High Court, which, after considering the ED’s submissions, directed the Special Court (PMLA) in Imphal East to review claims for the return of properties. The court has already issued an order, dated March 21, calling for public notice to invite claims from interested parties, paving the way for restitution.