Paytm has allegedly denied that anything fresh is being probed in the latest inspection of the company's facilities by the Enforcement Directorate (ED) on Wednesday. According to a source, a Paytm representative stated that the federal agency only wanted information related to existing investigations on certain merchants in the recent search operation. Earlier in the day, it was reported that the ED had conducted searches at the offices of One 97 Communications' Paytm and payment solutions provider PayU. The corporations were also scrutinised by the federal government earlier this month.
According to ANI, the ED conducted a search operation at the Paytm headquarters on Wednesday. However, a Paytm spokeswoman stated that the fresh ED searches do not entail any new information being reviewed. According to the spokeswoman, the federal government is looking for further information on the current investigations of specific businesses.
According to the article, a Paytm spokeswoman also stated that the business has supplied whatever information was requested by the Directorate of Enforcement (ED). "As we have previously stated, ED continues to demand information on specific merchants from various payment service providers, and we have supplied the necessary information," said the spokeswoman, according to the article.
On September 3, Paytm and PayU were questioned by the ED at six locations in Bengaluru. "As part of ongoing investigations on a specific group of merchants, the ED has sought information on such merchants to whom we supply payment processing solutions," the business said in a statement. It is explicitly stated that these merchants are separate companies and are not part of our company."
During these searches, the ED also asked Paytm to freeze certain sums from a certain set of merchants' Merchant IDs. Paytm has emphasised that the money that have been frozen do not belong to the firm or any of its subsidiaries.
