The CBI has booked seven persons for allegedly being involved in Ponzi schemes promising high returns on cryptocurrency transactions exceeding ₹350 crore.
The CBI conducted searches at 10 locations across seven states and Union Territories at Delhi, Jharkhand, Punjab, Madhya Pradesh, Gujarat, Tamil Nadu and Rajasthan, the agency said in a statement on Friday.
The searches resulted in the recovery of cash amounting to approx ₹34.2 lakh along with significant digital evidence, including seven mobile phones, one laptop, one tablet, three hard disks, 10 pen drives, memory cards, SIM cards, ATM/debit cards, email accounts, and several incriminating documents, the CBI stated.
Further, digital virtual assets amounting to a total of $38,414 (approximately) were virtually seized in the cryptocurrency wallets of the accused persons which have been digitally secured for investigation, the agency pointed out.
The accused were allegedly running separate organised cyber crime modules and were based in the cities of Delhi, Hazaribag, Bathinda, Ratlam, Valsad, Pudukkottai, Chittorgarh. It was alleged that accused persons, acting in criminal conspiracy, have been actively floating various Ponzi and fraudulent schemes, promising high returns based on cryptocurrency investments.Â
An analysis of bank account transactions and cryptocurrency wallets has revealed that the illegal proceeds from these schemes were being converted into cryptocurrencies to obscure their origin, said CBI.Â
They are also accused of promoting, promising, and disseminating false and deceptive information to entice investors into these unregulated deposit schemes, which operate without requisite approvals from regulatory authorities such as the Reserve Bank of India (RBI), said the CBI.
The agency swung into action after registering a case under Section 120B read with Section 420 of the Indian Penal Code (IPC) and Section 66D of the Information Technology Act, 2000, against seven accused.
