Crypto Connivers: Inside India's Rs 350-Crore Digital Ponzi Scheme

The CBI has uncovered a significant Rs 350-crore cryptocurrency scam across seven states, targeting unsuspecting investors. Seven individuals allegedly ran these operations, using social media to lure victims with promises of high returns. Massive financial transactions were converted into cryptocurrencies to disguise their origins.

The Central Bureau of Investigation (CBI) has launched an extensive investigation across seven Indian states, unearthing a Rs 350-crore cryptocurrency scam that deceived hundreds of investors. The crackdown follows a first information report (FIR) registered against seven individuals allegedly involved in these fraudulent operations across multiple regions.

The accused reportedly orchestrated these schemes in locations such as Delhi, Hazaribag, Bathinda, Ratlam, Valsad, Pudukkottai, and Chittorgarh, exploiting investor funds by promising substantial cryptocurrency returns. These dubious schemes gained traction via social media, and an analysis of banking and cryptocurrency transactions revealed efforts to conceal the scam's origins through conversion into digital currencies.

The CBI's large-scale raids led to the seizure of assets valued at approximately USD 38,414 from the accused's cryptocurrency wallets, along with Rs 34.2 lakh in cash and various digital devices and documents. The case is registered under multiple sections of the Indian Penal Code and the Information Technology Act, highlighting a criminal conspiracy to defraud investors.

(With inputs from agencies.)