Mumbai’s law enforcement agency, namely the Mumbai Police, have arrested a group that has been allegedly involved in a cryptocurrency fraud operation of around $14 million.
According to local news outlet, The Times of India, the group has managed to amass an estimated 1 billion Rupees or an estimated $14 million through its cryptocurrency fraud schemes. The case has led to the seizing and freezing of several bank accounts all across the country and had resulted in the arrest of four individuals.
The individuals – Sanjay Sontakke, Rajnikant Kumavat, Alpesh barodia and Kirankumar Panchsara have been arrested by the Mumbai Police, according to the Times of India.
Additionally, the police are on the lookout for a fifth suspect, Ashok Goyal, who has allegedly had a key role in the cryptocurrency scam that took place. However, he hasn’t been arrested at the time of publishing.
A resident of Surat, Umeshchand Jain had filed a complaint that had led to the arrests of the four men. Mr. Jain alleged that the suspects had defrauded him of 10.2 million rupees, which roughly converts to $145,000.
“The accused held meetings in Mumbai, Surat, and other parts of Gujarat, and lured people into investing their hard-earned money by promising to double it in two months. Initially, the gang repaid a few investors to lure more people in and then defaulted. Their intention was to cheat.”
According to the report by the media outlet, the group had launched a cryptocurrency that went by the name of “Cashcoin” about a year ago. The cryptocurrency was then sold to interested investors, who were promised a return of 200% on their investments.
The city’s crime branch has booked the accused under charges of cheating, breach of trust and criminal conspiracy. However, the law enforcement officials have restricted the outflow of further information regarding the case at it is still on-going.
However, the defendants of the accused claim that they are innocent and that they have been wrongly arrested.