Over 1,000 Indian police officials have found themselves ensnared in a massive crypto scam, which has managed to dupe more than 250,000 victims out of an estimated Rs 2,000 crore (equivalent to $240 million).
The crypto scam was previously reported to be at around $24 million, but police investigation now estimates it to be a much larger scam totalling somewhere around $240 million.
The crypto ponzi scheme targeted investors with alluring promises of substantial returns on their investments in two entirely fictitious cryptocurrencies, named Korvio Coin (KRO) and DGT Coin.
As reported earlier, the mastermind behind the massive crypto scam is still at large. The perpetrator is believed to have fled the country before police could get to him.
Police Officers Lose Crores in Crypto Ponzi Scheme
Shockingly, among those victimized by this crypto scam were police officers themselves. As per local reports, many officers from Himachal Pradesh’s Mandi district lost significant sums of money to the scammers. What’s more alarming is that some of these officers, instead of seeking restitution, became promoters of the fraudulent scheme.
They leveraged their positions within the local community to attract other unsuspecting victims, deepening the reach and impact of this scam.
In the wake of investigations, two arrested suspects, identified as Sukhdev and Hemraj, have reportedly confessed to being liable for a staggering $48 million (Rs 400 crore) related to the crypto scam.
Investigation Intensifies to Catch Scammers
Addressing rumors of police involvement in the scheme, Himachal Pradesh’s director general of police, Sanjay Kundu, stated during a press conference, “We will get all the wrongdoers. The investigation is progressing in an organized and planned manner.”
Earlier this month, a special investigation team (SIT) conducted extensive searches, spanning 35 locations across seven districts and one police district in Himachal Pradesh.
These searches uncovered crucial evidence, including property records, documents, electronic devices, and mobile phones, ultimately leading to the arrests of seven individuals. In total, nine individuals have been arrested in connection with this far-reaching cryptocurrency scam.
With no rules and regulations in place for crypto, India is currently seeing a huge rise in crypto-related scams.
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