The Indian government has adopted a strict stance on crypto assets including cryptocurrencies and the companies working on them since the beginning. Already, huge taxes are being imposed on them in India. Now in a recent case, notices have been sent to many foreign crypto companies under the Money Laundering Act. Describing the operations of those companies in the country as illegal, it has also been recommended to block access.
Action taken against these companies
The Finance Ministry shared an update in this regard on Thursday. Did. According to the ministry’s update, the companies that have been sent show cause notices under anti-money laundering laws include Binance, KuCoin, Huobi, Kraken, Get.io, Bittrex, Bitstamp, MEXC Global and Bitfinex. Show-cause notices have been sent to all nine foreign crypto companies by the Financial Intelligence Unit of India.
Recommendation of the Financial Intelligence Unit
The Financial Intelligence Unit says that the foreigners who Show cause notices have been issued to crypto companies, all of them are operating illegally in India. The unit has recommended blocking the websites of the concerned companies in India to the Ministry of Electronics and Information Technology. The Finance Ministry said in a statement – The Director of FIU IND has recommended to the Ministry of Electronics and Information Technology to block the URLs of bodies operating illegally in India without following the provisions of the PMLA Act.
The ministry also clarified that the action recommended against the nine foreign crypto companies concerned is not related to physical presence in India, but is related to activities.
As per the timeline. No update about this
No timeline has been given in the notice sent to crypto companies. This means that no information has been given as to when the companies have to respond or when action can be taken against them. This is the first case of such action against crypto companies in India.
Registration with FIU mandatory
Earlier this month, the government had told that the Financial Intelligence Unit Also, 28 domestic crypto service provider companies have registered themselves. Now the number of such companies has increased to 31. The Finance Ministry had said in March that it is mandatory for all crypto companies operating in India to register with the FIU.
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