India's Enforcement Actions on Crypto Assets Under Anti-Money Laundering Law

According to Odaily, the Indian Ministry of Finance disclosed in a written response to Parliament that the Enforcement Directorate (ED) has seized, frozen, or confiscated assets totaling approximately 41.8989 billion rupees in several crypto-related cases under the anti-money laundering law. The agency has arrested 29 individuals and filed 22 charges, with one suspect officially designated as an 'economic fugitive.' Additionally, the Central Board of Direct Taxes (CBDT) has uncovered approximately 8.8882 billion rupees in unreported income during searches and seizures related to virtual digital assets (VDA). Notices have been issued to 44,057 taxpayers who failed to include VDA information in their income tax returns. The Ministry of Finance noted that crypto assets remain unregulated in India, and the government is working on capacity building to enhance monitoring and investigation of VDA transactions. It emphasized the cross-border nature of crypto assets, stating that any effective regulatory framework requires extensive international collaboration in areas such as risk assessment and classification standards.