Cyber Crime
DSP Sridhar Pujar Surrenders in Karnataka Bitcoin Scam Case, Arrested by SIT
KARNATAKA: In a significant development in the Karnataka Bitcoin scam case, Deputy Superintendent of Police (DSP) Sridhar Pujar, who had been evading authorities for seven months, surrendered before the Special Investigation Team (SIT) on Monday. Pujar was promptly presented before a Bengaluru court and remanded to police custody for three days.
Pujar is the fourth police officer and the fifth individual to be apprehended by the SIT, which is probing alleged misconduct in the Central Crime Branch’s (CCB) handling of the high-profile bitcoin scam that surfaced between 2020 and 2021. The SIT was established in July 2023.
Pujar had been serving in the Internal Security Division when his name was linked to the bitcoin scam, resulting in his suspension. In 2020, while investigating a Narcotic Drugs and Psychotropic Substances (NDPS) Act case in Bengaluru, Pujar arrested hacker Srikrishna, also known as Sriki. Initially taken into custody for purchasing drugs online using Bitcoin, Sriki’s arrest eventually led to the unravelling of multiple cybercrimes in Karnataka, including a heist involving Rs 11.5 crore from the state e-procurement portal in 2019. The case gained further traction when the names of politicians and bureaucrats surfaced during the investigation.
According to the SIT’s first FIR, Pujar seized two MacBooks, two pen drives, and a hard disk from Sriki. However, forensic analysis revealed tampering with the seized devices, including evidence of file deletion and creation. The SIT is investigating why Pujar accessed the devices without obtaining court authorization and whether any additional manipulation occurred.
Pujar’s surrender followed the rejection of his bail application by the Karnataka High Court in September. Justice M G Uma expressed shock at the gravity of the case, particularly the involvement of senior police officers in allegedly tampering with evidence.
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The Bitcoin scam first emerged in 2020 when Srikrishna and his accountant, Robin Khandelwal, were arrested on charges of using Bitcoin to buy drugs. Their arrest exposed several cybercrimes, leading to the involvement of various law enforcement officers and allegations of corruption during the BJP regime in Karnataka. Accusations were made that police officials had misappropriated a large cache of Bitcoin found in Sriki’s crypto wallets after his arrest.
The state government formed the SIT in June 2023 to investigate the alleged scam. Since then, two new FIRs were filed in August 2023 and January 2024, focusing on tampering with evidence and the alleged illegal detention of Sriki and his associate in 2020-2021 by the police.
In connection with the investigation, several high-ranking officials, including senior IPS officer Sandeep Patil, have been questioned. Patil, who was the joint commissioner of crime in Bengaluru during the alleged scam, stated that his inquiry was part of the routine investigation process.
As the SIT continues its probe, forensic evidence, including an email sent by Sriki while in police custody, has raised further questions about the handling of the case. The investigation remains ongoing, with the SIT working to uncover the full extent of the scam and bring those responsible to justice.
Former IPS Officer Involved in Bitcoin Scam
Pune police have submitted a 4,400-page chargesheet against former IPS officer Ravindra Patil and cybersecurity expert Pankaj Ghode, accusing them of involvement in a multi-crore cryptocurrency fraud. Initially enlisted by the police to assist in solving cryptocurrency-related cases, the duo allegedly misled investigators by transferring large sums from digital wallets into their personal accounts.