The Enforcement Directorate (ED) has made significant progress in its investigation into the Bitcoin Ponzi scam, with the recent seizure of assets worth Rs 97.79 crore belonging to businessman Raj Kundra.
Among the seized properties were movable and immovable properties, including a house in Mumbai registered in the name of Kundra’s wife and actress Shilpa Shetty. This development follows several FIRs filed by Maharashtra Police and Delhi Police against Variable Tech Private Limited and its accused members, including late Amit Bhardwaj, Ajay Bhardwaj, Vivek Bhardwaj, Simpy Bhardwaj, Mahender Bhardwaj and others.
The allegations revolve around the fraudulent collection of funds, mainly in the form of bitcoins, amounting to Rs 6,600 crore in 2017 alone, under false promises of high returns. The modus operandi of the scam is to lure investors with the prospect of a 10% monthly return on bitcoins, allegedly from bitcoin mining operations.
ED’s Vigilance Strengthens Bitcoin Ponzi Scam Probe
Despite the deal falling through, Kundra still holds bitcoins, which are now worth more than Rs 150 crore. Several investigative operations strengthened the ED’s action, resulting in the arrest of three persons: Simpy Bhardwaj, Nithin Gaur, and Nikhil Mahajan. However, the main accused, Ajay Bhardwaj and Mahendra Bhardwaj, are still at large. Earlier, the ED had attached assets worth Rs 69 crore in the case, highlighting the importance of the financial breakdown and the commitment of the agency to uncover the complex websites of fraudulent activities.
The trial continued after the plaintiffs filed a lawsuit on June 11, 2019, following an additional complaint on February 14 of this year. The Special Anti-Money Laundering Tribunal (PMLA) has accepted these complaints, marking an important step towards accountability and justice for victims of Bitcoin Ponzi scams.
The ED continues the investigation vigilantly, pursuing money laundering agents and determinedly seeking to recover illegally acquired assets to protect the interests of investors and maintain the integrity of the financial system.
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