New Delhi [India], May 1 : The Central Bureau of Investigation (CBI) has carried out a massive nationwide search operation covering 30 locations across 10 States and UTs. This is part of an ongoing investigation of a case related to App based fraudulent investment scheme - HPZ Token App.
The searches led to the seizure of significant digital evidence, including mobile phones, computer hard drives, SIM cards, ATM/ Debit cards, email accounts, and various incriminating documents, CBI said on Wednesday.
The central investigating agency CBI had registered a case against two private companies, along with their Directors, on the allegations that the accused were involved in a fraudulent investment scheme linked to the HPZ Token App.
According to the CBI the names of the alleged accused are Shigoo Technology Private Limited and Lillian Technocab Private Limited (both private companies) along with their Directors. Searches were carried out in states like Delhi, Rajasthan, UP, Bihar, MP, Maharshtra Odisha Andhra Pradesh Tamil Nadu and Karnataka.
The scheme allegedly involved misleading the public into investing in non-existent crypto-currency mining machine rentals. The HPZ is an app-based token which promises users large gains by investing in mining machines for Bitcoin and other crypto currencies.
The fraudsters allegedly used a modus operandi that enticed victims to invest in the HPZ token app on the pretext of astronomical returns on their investments in Bitcoin mining.
According to the CBI, the investigation, so far, has revealed that approximately 150 bank accounts related to the accused were used to collect funds from investors. Allegedly, these funds were initially used for payouts to build trust, before being illicitly transferred out of India, often converted into cryptocurrency or moved through Hawala transactions.
"Searches conducted in this case, is a critical step in the ongoing investigation to dismantle the fraudulent scheme and gather evidence against the accused. Further investigation is continuing," CBI said.
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