Paytm clarifies on ED Investigation, scrutiny on merchants and not the company

Merchants under scrutiny are not Paytm entities, seized funds do not belong to the company

One 97 Communications Limited has clarified with reference to a press release issued on September 3, 2022 by the ED regarding the search operations it carried out at 6 premises in Bengaluru under the provisions of the Prevention of Money Laundering Act, 2002 (PMLA), and certain newspaper articles on this topic.

As a part of ongoing investigations on a specific set of merchants, the ED has sought information regarding such merchants to whom we provide payment processing solutions. It is hereby clarified that these merchants are independent entities, and none of them are our group entities. We are, and will continue to, fully cooperate with the authorities, and all the directive actions are being duly complied with.

It may be noted that ED has instructed us to freeze certain amounts from the Merchant IDs (MIDs) of a specific set of merchant entities (as mentioned by the ED in their press release). It may be further noted that none of the funds which have been instructed to be frozen belong to Paytm or any of our group companies.

Source : Equity Bulls

Keywords

One97Communications Paytm EDInvestigation FundsSeized Merchants