Foreign currency transactions and advertising marketing expenses are under investigation. It is reported that the company has spent Rs 944 crore including on advertisements. It is alleged that the financial records of the company have not been prepared and the accounts have not been audited since the financial year 2020-21.
Meanwhile, the income tax department is verifying the figures provided by the company.
Who participates in the derivatives market?
It is indicated that an investigation was started against the platform based on complaints received from various private individuals. ED had sent several summons to founder and CEO Baiju Ravindran.
Baiju’s lawyer stated that the recent visit of the ED officials to Bangalore was part of the routine investigation under FEMA and they had provided all the information requested by them. The legal team responded that they have confidence in the integrity of the company’s operations and will ensure that the authorities have all the necessary information.