India's ED Launches Probe Into Six Bengaluru Firms Over Cross-Border Fund Flow

The Indian Enforcement Directorate (ED) has launched an investigation into six companies in Bengaluru over alleged cross-border fund flow using virtual digital assets.

The ED conducted searches at locations tied to five companies - Transak, Carretx, Mokshagna Technologies, Buyhatke, and Abhibha - on June 17. Around Rs 6 crore in assets were frozen as part of the investigation.

The ED claims these firms operated platforms that allowed users to swap rupees for stablecoins like USDT, serving as on-ramp and off-ramp points between regular money and cryptocurrencies.

This setup allegedly enables users to move funds across borders without proper paperwork, which the agency calls a clear case of digital money laundering tied to unauthorized forex activity.