“The new modus operandi of laundering money is through instruments such as PPP and convertible debentures, which are being used to obscure the source of slush funds. We are also seeking more information from the RBI and the Financial Intelligence Unit (FIU),” said a top finance ministry official.
“Another major cause of concern is many banks are issuing letters certifying these money deposits as clean and unencumbered. Clearly banks do not have the authority to issue such letters. We have sought more details on this and appropriate action will be taken,” the source added. details on this and appropriate action will be taken,”the source added.