New Delhi, Aug 7 (IANS): Several journalists in India allegedly received funds from China, Enforcement Directorate (ED) sources said on Monday.

This revelation came to light during an investigation into a PMLA case related to Newsclick studio.

However, as of now, the ED has not made any official statement regarding the matter.

As per the sources, an investigation was conducted under the PMLA into PPK Newsclick Studio for an alleged fraudulent infusion of foreign funds amounting to Rs 38.05 crore over a span of three years.

The funds received were allegedly distributed to several journalists.

During the probe, ED sources said that the agency uncovered that Neville Roy Singham provided around Rs 38 crore to News Click between 2018 and 2021.

Singham, an American citizen originally from Sri Lanka, is claimed by the ED to be associated with the Communist Party of China.

In February of this year, the ED conducted raids at the Gurugram office of News Click and seized several documents.

The ED's case is based on an FIR lodged by the Economic Offence Wing (EOW) of Delhi Police in August 2020.

The name of activist Gautam Navlakha emerged during the course of the investigation, leading the agency to question him as well. ED's investigation revealed that Prabir Purkayastha allegedly paid Rs 20 lakh to Navlakha. It was also discovered that Navlakha and Purkayastha established a firm in association with an American arms supplier.

The ED found that a few American-based firms -- Justice and Education Fund Inc, GSPAN LLC, and Tricontinental Ltd Inc -- provided funds to News Click. All three firms are registered at the same address in the US.

Additionally, a Brazil-based firm, Centro Popular Demidas, also sent money to Newsclick.

Newsclick has called the ED probe a "fictitious account".