[Parliament Watch] Money laundering through cryptocurrency, foreign arbitral awards, Ed-Tech and more

As the Budget Session of Parliament 2022 resumed after a hiatus, questions were raised in the Lok Sabha on the topics of cryptocurrency, education technology companies, arbitration proceedings in the Antrix-Devas matter, and more. .In a question by Biju Janata Dal Member of Parliament Pinaki Misra, the Union Finance Ministry was asked why the government had not complied with the awards of the arbitral tribunal at the International Court of Justice and two bilateral investment treaties. Minister of State for Finance Pankaj Choudhury informed the House that the Supreme Court has already upheld decisions of the National Company Law Tribunal (NCLT) and the National Company Law Appellate Tribunal (NCLAT) that called for the winding up of Devas, involved in the Devas-Antrix scam.There was serious fraud the company was involved in and multiple directors and others are under investigation/criminal trial for money-laundering offences. In this backdrop, the government is therefore challenging the arbitral awards and engaging counsel in all jurisdictions, the reply added. The Ministry added that the matter should not affect foreign investments into India..As regards the Cairn and Vodafone disputes, as reported earlier, the Centre said that it has introduced Taxation Laws (Amendment) Act, 2021 by which it has proposed to do away with the retrospective application of 2012 amendments to the Income Tax Act. These amendments had made gains arising from the transfer of assets located in India through the transfer of the shares of a foreign company, taxable..A question by Bharatiya Janata Party (BJP) Member of Parliament from Jabalpur Rakesh Singh asked the government if it was aware of the use of cryptocurrency for money laundering by cyber criminals.The Directorate of Enforcement (ED) is investigating 7 cases cases in which cryptocurrency has been used for money laundering, Union Minister of State for Finance Pankaj Chaudhary revealed." ...some foreign nationals and their Indian associates have laundered the PoC through cryptocurrency accounts at certain exchange platforms. In one of such case an accused has been arrested by ED in the year 2020," the reply added. So far, the ED has attached proceeds of crime amounting to ₹135 crore in these cases..To a question by BJP Member of Parliament Rattan Lal Kataria on whether steps are being taken to address the attempts to mislead the youth on high returns on investing in cryptocurrency, the Union Finance Ministry informed that there was no agreement so far on a regulatory authority for investments in cryptocurrency. On whether it plans to address the prevalence of allegedly misleading advertisements by cryptocurrency companies, the reply stated,"The Government and the Reserve Bank of India (RBI) to protect the interest of consumer/investor, have been cautioning users, holders and traders of cryptocurrency, from time to time, about the potential economic, financial, operational, legal, customer protection and security related risks associated in dealing with cryptocurrency.".Union Minister of State for Education Subhas Sarkar informed the House that data on education technology (EdTech) startups is not being maintained by the Ministry of Education.The University Grants Commission (Open and Distance Learning Programmes and Online Programmes) Regulations of 2020 prohibit franchise arrangements with the private sector and students are advised to check the recognition of any such ed-tech programs on its website, the reply added.