Latest news with #OneSigmaTechnologiesPvtLtd
Time of India
24-07-2025
- Business
- Time of India
ED issues 914cr show-cause notice to SIMPL
Enforcement Directorate NEW DELHI: The ED's Bengaluru unit on Wednesday issued a show-cause notice of Rs 914 crore to One Sigma Technologies Pvt Ltd and its director Nithya Nand Sharma for violating Foreign Exchange Management Act to receive Rs 649 crore in FDI from the US without govt's approval. The company operates through its mobile app called SIMPL and offers "Buy Now Pay Later" services to users of various online shopping and travel platforms. "...One Sigma Technologies received FDI of Rs 648.88 crore and issued convertible notes of Rs 264.88 crore under 100% automatic route by declaring its business as 'benefits of information technology and other computer service' activity," the agency said.
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Business Standard
23-07-2025
- Business
- Business Standard
ED files plaint against fintech firm SIMPL for FDI policy violation
The Enforcement Directorate (ED) on Wednesday filed a complaint against One Sigma Technologies Pvt Ltd (SIMPL) and its Director Nithya Nand Sharma for allegedly violating India's foreign exchange laws to the tune of ₹913.7 crore. The enquiries in the matter were initiated on the basis of credible information that SIMPL has received a substantial amount of Foreign Direct Investment (FDI) from the United States, the ED said in a statement. ED investigation under the provisions of Foreign Exchange Management Act (FEMA), 1999 revealed that the company runs its business through a mobile application named SIMPL. 'It provides buy now pay later services which allow its customer to buy now and pay later in instalments. Further, it was learnt that One Sigma Technologies Pvt Ltd received FDI to the tune of ₹648.87 crore and issued convertible notes to the tune of ₹264.88 crore under 100 per cent automatic route by declaring its business activity as Benefits of Information Technology and other computer service activities,' the ED said. ED also pointed out that during its course of investigation, the business model and revenue generation model of One Sigma Technologies Pvt Ltd were examined and the same revealed that the company was into conducting business, which falls under financial activity. However, according to AP (DIR Series) Circular No 8 dated October 20, 2016 issued by Reserve Bank of India (RBI), FDI in financial activities not regulated by any authority is to be brought under 100 per cent approval route. The ED further noted that SIMPL has received FDI under automatic route and issued convertible notes under automatic route without obtaining prior approval from the Government of India, the statement added.
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Business Standard
23-07-2025
- Business
- Business Standard
ED files complaint against SIMPL for ₹913 crore FDI policy violation
The Directorate of Enforcement (ED) on Wednesday filed a complaint against One Sigma Technologies Pvt Ltd (SIMPL) and its director, Nithya Nand Sharma, for alleged contravention to the tune of Rs 913.7 crore in violation of the extant Foreign Direct Investment (FDI) policy. In its statement, the ED said enquiries were initiated based on credible information that One Sigma Technologies Pvt Ltd had received substantial FDI from the United States of America, allegedly in violation of the prevailing FDI norms. The ED's investigation, conducted under the provisions of the Foreign Exchange Management Act (FEMA), 1999, revealed that One Sigma Technologies Pvt Ltd operates its business through a mobile application named SIMPL. 'It provides Buy Now Pay Later services, which allow customers to buy now and pay later in instalments. Further, it was learnt that One Sigma Technologies Pvt Ltd received FDI worth Rs 648.87 crore and issued convertible notes worth Rs 264.88 crore under the 100 per cent automatic route by declaring its business activity as 'Benefits of Information Technology and other computer service activities,'' the ED stated. The agency further noted that during the course of its investigation, the business and revenue models of One Sigma Technologies Pvt Ltd were examined and found to fall under financial activities. However, as per A.P. (DIR Series) Circular No. 8 dated October 20, 2016, issued by the Reserve Bank of India (RBI), FDI in financial activities not regulated by any authority must be brought in under the 100 per cent approval route. 'Further, in activities where government approval is necessary for receiving FDI, any startup company can issue convertible notes only with the approval of the Government of India. However, One Sigma Technologies Pvt Ltd issued convertible notes without obtaining any such approval,' the ED said in its statement. The agency added that SIMPL had received FDI under the automatic route and issued convertible notes without prior government clearance, in contravention of the applicable regulatory framework.
Hans India
23-07-2025
- Business
- Hans India
ED files FEMA complaint against SIMPL over Rs 913 crore FDI violation
Bengaluru: The Enforcement Directorate's Bengaluru Zonal Office has filed a complaint against One Sigma Technologies Pvt Ltd (SIMPL) and its Director Nitya Nand Sharma for contravention of the Foreign Exchange Management Act to the tune of Rs 913 crore (Rs 913,75,88,062), an official statement said on Wednesday. The enquiries in the matter were initiated on the basis of credible information that SIMPL has received a substantial amount of Foreign Direct Investment (FDI) from the US, allegedly in violation of the extant FDI policy, the ED statement said. The ED investigation under the provisions of the FEMA revealed that the firm runs its business through mobile application named SIMPL. It provides Buy Now Pay Later services which allowed its customer to buy now and pay later in instalments, the ED said. Further, it was learnt that One Sigma Technologies Pvt Ltd received FDI to the tune of Rs 648,87,76,480 and issued Convertible Notes to the tune of Rs 264,88,11,582 under the 100 per cent automatic route by declaring its business activity as "Benefits of Information Technology and other computer service activities", the ED said. "During the course of investigation under FEMA, 1999, the business model and revenue generation model of M/s One Sigma Technologies Pvt Ltd were examined, and the same revealed that M/s One Sigma Technologies Pvt Ltd is into the business activities which fall under financial activities." "However, as per circular, dated October 20, 2016, issued by the RBI, FDI in financial activities not regulated by any authority is to be brought under the 100 per cent approval route. Further, in activity where government approval is necessary for receiving FDI, any startup company can issue convertible notes only with the approval of the government of India. However, M/s One Sigma Technologies Pvt Ltd has issued convertible notes without obtaining any approval from the government of India," the ED said. "M/s One Sigma Technologies Pvt Ltd (SIMPL) has received FDI under automatic route and issued convertible notes under automatic route without obtaining prior approval from the government of India and thereby contravened the provisions of FEMA, 1999, collectively to the tune of Rs 913,75,88,062 and rendered itself liable to be proceeded under section 13 of FEMA, 1999." "In view of the above, a complaint under section 16 (3) of FEMA, 1999 is filed before the Adjudicating Authority under FEMA," the ED added.
