India’s Enforcement Directorate (ED) recently took action against cryptocurrency fraud by seizing over $30 million in digital assets. This was a major setback for fraud in the country’s cryptocurrency market.
The ED took action against two major crypto scams in India and tricked investors with promises of high returns. The ED seized a huge INR 90 crores ($10.7 million) worth of exchange in one of the scams, called the “E-Nugget” plan.
Crypto Scheme Leads to Arrests
Aamir Khan and Romen Agarwal, two people caught and charged with the scams, have been arrested. The scams were done by pretending to be a game platform and drawing people in with the promise of significant investment returns. However, after investors put funds into the platform, it would quickly go offline, leaving them unable to get their funds back.
According to a probe, the scammers used 2,500 fake bank accounts to run the scheme, and some of the money was invested in exchange. With information from several exchanges, including Binance, nearly ₹90 crore was frozen from 70 accounts tied to the scam.
The ED has taken away items worth a total of INR 163 crore, which is about $19 million. These items include cash, exchange, bank accounts, and real things like offices.
The Central Bureau of Investigation (CBI) has also started a nationwide search for a fake Bitcoin mining scam. The CBI has filed a case against Shigoo Technology Private Limited and Lillian Technocab Private Limited under the Information Technology Act, 2000, regarding the HPZ token app.
