Bengaluru, 19th May 2023: The Enforcement Directorate agency seized more than 8.26 crore on Friday from the Education Technology giant, Piegon EduTech India. The company offers online education services under the name of Odaclass.
A case has been registered under Section 37A of the Foreign Exchange Management Act,1999 after ED authorities conducted a search and seizure action against the company and found that Chinese nationals fully own the company.
The people based in China took all the Internal Affairs of the company, particularly the financial decisions. The firm has allegedly siphoned off over Rs. 82.72 crores to China and Hong Kong-based accounts, citing advertisement and marketing expenses following instructions of Chinese director Liu Can.
Upon failure of the company to provide any proof of receipt of service on its part and any advertisement published against the said expenses, the Indian authorities filed charges against the firm.
