New Delhi, April 27 The Enforcement Directorate (ED) that recently raided the offices of an online education firm in Bengaluru has learnt in its course of investigation that the company is owned by a Chinese national, and it has sent around Rs 82 crore to China as "marketing expenses", a source in the know of things said on Thursday.
Pigeon Education Technology India Private Limited, the firm where raids were conducted, provides online education, and is known as 'Oda Class'.
The raids were conducted at two locations in Bengaluru under the provisions of the Foreign Exchange Management Act.
It was learned that the company is "100 per cent owned by a Chinese national".
"The company is part of a group consisting of a complex web of entities having the ultimate controlling company in Cayman Island. The current directors of the company are Liu Can, who is a Chinese national, and Vedant Hamirwasia," said the ED.
The operations and other matters related to the company are controlled by Liu Can from China, and "the Indian director has no control or access to the company affairs", an official said, adding, "he follows all the instructions of Chinese persons".
The Chinese director is the authorised signatory in all the bank accounts of the company maintained in India.
The accounts are operated online through China.
"The company remitted around Rs 82 crore to China in the name of marketing expenses on the instructions of the Chinese persons without having proof of availing any services from the beneficiary entity," said the official.
During searches, various incriminating documents and forensic back-up from electronic devices were seized.
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