Shimla: The investigation into Himachal Pradesh’s high-profile alleged cryptocurrency and multi-level marketing (MLM) scam remains far from conclusion even two years after it came to light. Amid claims that nearly ₹1,740 crore was invested and around 2.5 lakh people were affected, 69 of the 76 accused arrested so far have secured bail, while trial proceedings against any of the accused have yet to begin. The Enforcement Directorate (ED) has made only two arrests under the Prevention of Money Laundering Act (PMLA) during the past two years.
In its latest action, the ED arrested 41-year-old Masoom Juneja from Mohali, Punjab, on June 15 in connection with an alleged money laundering case linked to the scam. According to the agency, his father, Vijay Juneja, is already in the custody of the Himachal Pradesh Police. The ED initiated its investigation in 2024 based on FIRs registered by the Himachal Pradesh and Punjab Police.
According to the Special Investigation Team (SIT), the alleged network expanded rapidly between 2018 and 2022. Investors were assigned unique digital IDs and encouraged to recruit others into the scheme. Every new participant generated additional IDs under the original investor, allowing the network to grow exponentially. Investigators also found that, in several cases, individuals invested using the identities of their relatives and friends.
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Officials said nearly 500 complaints were received through a dedicated helpline launched in 2024. Most complainants were from the districts of Kangra, Mandi, Hamirpur and Una in Himachal Pradesh, while some victims were also identified in Phagwara, Punjab. A significant number of investors reportedly used compensation received for land acquired for road infrastructure projects to invest in the scheme.
The SIT has filed multiple charge sheets against 76 accused based on nearly 280 complaints, although several complaints are still under investigation. According to investigators, the digital coin was initially priced at around ₹70 before promoters allegedly claimed its value had increased to between ₹800 and ₹4,000. Investors were reportedly assured that the cryptocurrency would be traded exclusively in US dollars and would generate exceptionally high returns.
Investigators have classified those involved into three broad categories: individuals who allegedly earned the highest financial gains, team leaders responsible for recruiting investors on the ground, and the victims who invested in the scheme. While seven accused remain behind bars after their bail pleas were rejected, the majority have been released on bail pending trial.
The ED believes the alleged mastermind, Subhash Sharma, is currently hiding in Dubai. The agency said efforts to trace him and investigate the money trail are continuing. According to the ED, the suspected proceeds of crime are estimated at around ₹500 crore. Although the total investment is believed to have reached nearly ₹1,740 crore, investigators say many investors received returns during the initial phase, reducing the estimated amount of the alleged fraud.
The case first gained public attention in 2023 after it was raised in the Himachal Pradesh Legislative Assembly. Following the revelations, the state government constituted a Special Investigation Team, launched a dedicated helpline, and initiated the process of registering FIRs. Despite these measures, many victims are still awaiting recovery of their investments.
Cybersecurity expert and former IPS officer Prof. Triveni Singh said that cryptocurrency-based MLM schemes typically lure investors by promising unrealistic returns, referral-based earnings and time-bound investment opportunities. He advised investors to independently verify the regulatory status, business model and associated risks of any digital investment platform before committing their money.
