Chinese Company Share in Paytm: Shares of Paytm, the country’s largest digital payment company, have seen a fall of about 4 percent in early trade on Monday. The reason behind this is being told that this has happened due to the name of Paytm being associated with Chinese lending companies.
Regarding the action of the Directorate of Enforcement, Paytm said that it has no link with Chinese companies. The ED said that in the raids, it has seized Rs 17 crore deposited in “merchant ID and bank accounts” of these companies controlled by some Chinese persons. These companies use fake documents of Indian citizens to make them directors in a fake manner, while the control and operation of these companies remains in the hands of the people of China.
what is the matter
In the investigation of the Chinese loan app case, the ED also raided the offices of Paytm. The company’s shares recovered slightly after the initial fall and were at Rs 709.30, showing a fall of 2.42 at 11.15 am. In intraday, the shares of Paytm had reached the level of Rs 681. The parent company of Paytm, which provides digital financial services, is One97 Communications.
Paytm shares fell
Paytm says that, “ED had directed to withhold certain amounts from merchant IDs of certain merchant entities. We would like to state that none of these funds, which have been directed to be withheld, are not related to Paytm or any of our group companies.
We will fully cooperate with ED
Paytm company clearly said that the company has nothing to do with the merchants who are trapped in the Chinese loan app case. The company said that the Enforcement Directorate (ED) had sought details of those merchants to whom payment processing solutions have been provided by Paytm in connection with the ongoing investigation of certain merchants. Paytm said that, “We would like to clarify that all these merchants are independent entities and none of them is related to our group. He said that, we are cooperating fully with the authorities and will continue to do so.