Enforcement Directorate Uncovers Major Financial Fraud Linked to Adult Entertainment Firm

(Judicial Quest News Network)

The Enforcement Directorate (ED) has executed searches at the headquarters in New Delhi under section 37 of FEMA in conjunction with section 132 of the Income Tax Act, targeting Subdigi Ventures Private Limited, a company run by a couple based in Noida. The investigation centres on allegations that the company and its directors received foreign remittances from Technius Limited, a Cyprus-based entity operating adult entertainment websites such as Xhamster and Stripchat. Evidence suggests that these remittances, disguised as payments for services like advertising and market research, were actually proceeds from adult content. During the raid, officials uncovered a high-tech studio set up for streaming adult content, where the couple reportedly hired models via social media. Over Rs. 15.6 Crore in illegal remittances were traced to the company’s accounts, along with an undisclosed bank account in the Netherlands that received approximately Rs. 7 Crore from Technius Limited. Funds from this foreign account were reportedly withdrawn in cash in India using international debit cards. Investigations indicate that the couple retained about 75% of the earnings, providing only a small portion to the models. Significant incriminating evidence was collected during the search, including Rs. 8 Lakh in cash. Further investigations are ongoing.