India raids Chinese entities for money laundering

NEW DELHI - Indian tax authorities raided the premises of a few Chinese entities and their associates for money laundering, according to an official statement late on Tuesday (Aug 11), adding to New Delhi's growing discomfort with Beijing after a border clash in June. Since the clash, Prime Minister Narendra Modi's government has taken steps such as banning some Chinese mobile-phone apps, and tightening the requirements for Chinese investment and participation in government tenders. The statement provided no details on the timing of the raids or on the kind of 'entities' mentioned. Chinese individuals, their allies and a couple of bank employees were involved in money laundering through a series of shell companies, the statement said. "Search action revealed that at the behest of Chinese individuals, more than 40 bank accounts were created in various dummy entities, entering into credits of more than 10 billion rupees (S$180 million) over the period," the statement said. During the raid, the authorities found evidence of transactions involving Hong Kong and US dollars.

from Asia
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