FIU slaps Rs 96 lakh penalty against PayPal for violating India’s anti-money laundering processes

American online payment gateway giant PayPal has been imposed a Rs 96 lakh penalty by the FIU for alleged contravention of the anti-money laundering law and accused of “concealing” suspect financial transactions and abetting “disintegration” of India’s financial system.

PayPal, which began India operations in November 2017, said it was fully committed to follow due processes and is “carefully reviewing the matter”.

The company has also been charged with “defeating and frustrating” the tenets of public interest and the provisions of the Prevention of Money Laundering Act (PMLA), which aims to keep the country’s financial system safe from economic crimes, terrorist financing and black money transactions.