Nagpur Police have uncovered an alleged digital investment fraud exceeding ₹15 crore, with investigators probing a network that may have registered more than 10 lakh users across the country. The Economic Offences Wing and Cyber Cell have arrested two key accused, frozen about ₹2.10 crore in bank accounts and fixed deposits, and seized digital devices as part of the investigation into the “Free Coin” and “Merchant Coin” schemes.
According to police, investors were allegedly lured through a mobile application and online platform with promises of extraordinary returns within a short period. The scheme was promoted through a digital company established in 2022, which operated an application called “Future Digital Assets.”
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Digital Coins Promoted With High-Return Claims
Investigators said the accused allegedly persuaded people to buy digital coins by claiming that their value would rise sharply in the future. Under the “Free Coin” model, participants were told that large amounts would be credited to their digital wallets after a fixed period.
However, police allege that withdrawals were restricted through conditions and payout limitations. Participants were encouraged to bring in more investors, turning the scheme into a referral-based structure.
The “Merchant Coin” scheme was also promoted with claims that the coin’s value would increase dramatically and reach several lakh rupees in the future. Police said such claims helped draw investors who believed they were entering a high-growth digital asset platform.
Investor Unable to Withdraw Wallet Balance
The investigation has noted the case of a woman who allegedly invested around ₹2.25 lakh in the scheme. Although the amount displayed in her digital wallet reportedly continued to rise, she was unable to withdraw the funds.
Her redemption requests were allegedly denied on the grounds of company policies and payout restrictions. Authorities later found that the balances shown in investor wallets did not necessarily represent withdrawable money.
Police estimate that more than 10 lakh users may have registered with the network nationwide. After a criminal case was registered, investigators acted to stop more people from joining the platform.
Money Trail and Digital Evidence Under Probe
Authorities have frozen around ₹2.10 crore held in multiple bank accounts and fixed deposits. Investigators are now scrutinising bank accounts, financial transactions and digital records to trace the movement of funds and identify possible beneficiaries.
A forensic examination reportedly indicated that “Merchant Coin” had no legitimate linkage with recognised banking systems or e-commerce platforms. Police have also seized laptops, mobile phones and other digital devices.
Cybercrime expert and former IPS officer Prof. Triveni Singh said such frauds often combine technology, digital marketing and social trust to attract victims. He said any investment scheme promising unusually high returns and requiring participants to recruit new members should be treated with caution. Authorities are continuing to examine the financial trail, technical associates and the wider structure of the alleged network.
