Paytm says ED is not investigating the company or CEO

Paytm brand owner One97 Communications and its founder and CEO Vijay Shekhar Sharma on Sunday said that the Enforcement Directorate is neither investigating the company for money laundering issues.

The Ministry of Education visited the premises of the company and some other fintech companies such as Razorpay in September 2022 to conduct money laundering investigations into some merchants using their platforms.

“Neither the company nor its founder and CEO are under investigation by the Enforcement Directorate for issues such as money laundering. In the past, certain merchants/users on our platform have been questioned,” Paytm said in a regulatory filing. We have always cooperated with the authorities in these cases. “

The company said it has cooperated with authorities when they investigated any group of merchants or users in the past.

“We wish to set the record straight and deny involvement in any anti-money laundering activities. We have and will continue to comply with Indian laws and accept regulatory orders with the utmost seriousness,” the filing said.

Paytm Payments Bank Ltd is in trouble after a recent RBI order prohibited it from accepting any deposits or conducting credit transactions or recharging any customer account, prepaid instrument, wallet, card for payment of road tolls after February Controversy 29.

Paytm Payments Bank Limited (PPBL) is an associate company of One97 Communications Limited (OCL), which holds (either directly or through its subsidiaries) 49% of the paid-up share capital of PPBL. Sharma owns 51% of the bank.

(This story has not been edited by News18 staff and is published from associated news agency – PTI)