New Delhi [India], February 26 : The Central Bureau of Investigation (CBI), using in-house capabilities, seized significant incriminating evidence and virtual digital assets, unravelling the extent of the cryptocurrency fraud following nationwide searches conducted on February 25-26 in connection with the GainBitcoin scam cases.
This comes after the CBI conducted raids at over 60 locations across major cities, including Delhi, Pune, Nanded, Kolhapur, Mumbai, Bengaluru, Chandigarh, Mohali, Jhansi, and Hubli, as part of its investigation into the GainBitcoin scam.
The fraudulent scheme, launched in 2015 by Amit Bhardwaj (deceased) along with Ajay Bhardwaj and others had promised investors 10 per cent monthly returns on Bitcoin investments for 18 months.
The scheme followed a multi-level marketing (MLM) structure, enticing investors through lucrative commissions for referrals.
Initial payouts were made in Bitcoin; however, as the scheme collapsed in 2017, payouts were switched to an in-house cryptocurrency, MCAP, which had significantly lower value, further defrauding investors.
During these searches, CBI seized cryptocurrencies worth Rs 23.94 crores, multiple hardware crypto wallets, 121 documents, 34 laptops and hard disks,12 mobile phones and multiple email and instant messaging app dumps.
The seized documents and electronic devices are currently under analysis to uncover further details regarding the misappropriation of funds and potential international transactions linked to the scam.
As per an official release, the CBI remains committed to conducting a comprehensive and impartial investigation into the GainBitcoin scam and bringing the perpetrators to justice.
An investigation is underway into the matter.