In a major crackdown on cryptocurrency fraud, the Enforcement Directorate (ED) has seized digital assets worth Rs 17.2 crore from multiple wallets during raids at six locations in Haryana. The searches, conducted on February 24 by the ED’s Chandigarh Zonal Office under the Prevention of Money Laundering Act (PMLA), 2002, targeted a recently uncovered cryptocurrency investment scam.
According to the agency, the seized funds were linked to Mahesh Kumar and his associates, who orchestrated the fraudulent scheme. The operation also led to the confiscation of several mobile phones, which were used to access cryptocurrency wallets through various applications. These devices have been sent for forensic analysis, expected to reveal further incriminating evidence.
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The ED’s investigation stemmed from an FIR filed by the Haryana Police, combined with a complaint from a victim who had fallen prey to the scam. Kumar, a resident of Hisar, along with three accomplices from Bhiwani, allegedly lured investors with promises of exorbitant returns on cryptocurrency investments, ultimately defrauding them of crores.
Investigators found that multiple cryptocurrency wallets were operated by Kumar in collaboration with his co-conspirators. Their scheme involved duping investors, accumulating illicit wealth, and then layering these proceeds through decentralized exchanges to evade detection.
The agency emphasized that this case underscores the growing complexity of cryptocurrency-related crimes, highlighting the evolving challenges faced by regulatory and law enforcement authorities in combating financial fraud.