In the last few months (April to November), we have tracked around 3,300 accounts linked to various illegal activities. The list has also been shared with the Enforcement Directorate, Income Tax Department and the Central Bureau of Investigation.
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The country’s Financial Intelligence Unit (FIU) tracked 3,300 crypto accounts in the last eight months. Such accounts are suspected of indulging in other illegal activities including money laundering, drug smuggling and financing of social unrest. The agency has shared the information with other enforcement agencies and crypto exchanges in India and abroad. FIU has also asked to close these accounts and has also contacted international agencies. India is a member of the Egmont Group, an international group of financial intelligence units from 166 countries.
3.300 accounts tracked
According to information given by a senior official, in the last few months (April to November), we have tracked around 3,300 accounts, which are linked to various illegal activities. The list has also been shared with the Enforcement Directorate, Income Tax Department and the Central Bureau of Investigation. Enforcement agencies have requested for closure of crypto accounts in cases where they were local and operating on India based crypto exchanges.
Illegal crypto transactions worth Rs 28,000 crore
The official said most of the transactions in these accounts were related to drugs smuggling, money laundering, child pornography and wildlife smuggling, many of which went back to 2019. Three Digital Assets Management companies are under investigation and a detailed investigation has helped trace some of these accounts. Between 2019 and 2021, the FIU detected illegal cryptocurrency-facilitated drug transactions worth Rs 28,000 crore.
was being used for wrong things
The official said that the FIU also detected transactions where cryptocurrencies were deposited in the accounts of people identified with social unrest and agitation. The official said that the increasing use of crypto in financing social unrest is a matter of concern. Most of them are using dark web for such transactions. However, use of technology and coordination between enforcement agencies is helping them to stop such transactions.
The official said that 70 per cent of these accounts have already been blocked and the rest are either in the process of being closed or they are out of the jurisdiction of Indian law enforcement agencies. The official said that in cases where the exchanges are in foreign jurisdiction, the enforcement agencies are also working closely with international agencies and have cleared the request of international agencies including Interpol, Eurasian Group, Egmont (Egmont Group of FIU) and Europol. flagged off.
700 accounts were blocked
Cryptocurrency exchange platform WazirX said last week that it had blocked over 700 accounts between April and September based on instructions from law enforcement agencies and an internal assessment of alleged irregularities. Last month, India hosted the third ‘No Money for Terror’ ministerial conference, which reviewed new technologies used in terror financing and preventive measures.