8 New Arrests Made in $300 Million Crypto Scam in India

Eight more arrests have been made in a large cryptocurrency scam that defrauded almost 100,000 people, with a whopping $300 million (2500 crore Indian rupees) at stake, according to frightening allegations from Indian local media. Four police personnel were among those detained, highlighting the intricacy and scope of the Himachal Pradesh fraud. The Special Investigation Team (SIT) conducted a thorough investigation and found that over 5,000 government officials and almost 1,000 police officers were victims of this bold money scam.

The Scam

Although the story of this dishonest operation first surfaced in late September, its roots may be found as far back as 2018. The criminals enticed gullible investors with enticing offers utilizing a locally developed cryptocurrency called Korvio Coin, or KRO coins. Later on, more coins were released through phony websites. A specific cryptocurrency project exposed investors to a dirty trick known as a “rug pull,” in which the project’s developers forsake the project after investors have already bought tokens.

The fact that police officers are involved in this fraud adds to its confusion. The plot involved around 1,000 law enforcement personnel. Some became its victims, but others acted as its advocates and made large financial advantages. The total involvement in this illegal activity demonstrates its astounding scope, impacting both law enforcement and the general public.

About 56 complaints were made to the local police stations in the previous two years in response to the flood of dissatisfaction. Following that, a number of organizations, including the Enforcement Directorate, worked with local police units to initiate a comprehensive investigation that was headed by the SIT. Almost 250,000 identity cards connected to the accused were found in late October after multiple searches. Following investigations, it was discovered that over 100 people had made $240,000 or more from the fraud, and another 200 had made about $120,000 apiece.

Although 18 people have been taken into custody thus far, Subhash Sharma, the alleged mastermind, is still at free. Multiple properties related to Sharma have been located and confiscated by the authorities. An interesting development in the story is that the Enforcement Directorate has opened an investigation into the activities of five women who may have acted as promoters or agents for the purported kingpin.

With its extensive network and broad ramifications, this cryptocurrency fraud is a sobering reminder of how crucial it is to exercise caution when dealing with cryptocurrencies. It emphasizes the necessity of extensive regulatory policies and strict enforcement in order to protect investors from scams and online fraud.