New Delhi, Dec 4 The Enforcement Directorate (ED) has said it seized crypto (USDT) worth Rs 1.36 crore and Rs 47 lakh cash during search operations conducted in various cities in crypto fraud case.
The search operations were conducted from November 28 to November 30 at 13 premises in Delhi, Gurugram, Jodhpur, Jhunjhunu, Hyderabad, Pune and Kolkata under the provisions of the Prevention of Money laundering Act (PMLA), 2002.
The investigating agency said the search resulted into the recovery of various incriminating documents, cheque-books, ATM cards, PAN Cards, Digital Signatures, Trust Wallet Secret Phrases and the seizure of unexplained cash amounting to Rs 47 lakh.
The ED has also frozen various bank accounts relating to this case.
“The ED initiated a probe based on two FIRs registered by the CBI, the Economic Offences Wing (EOW), Delhi concerning cyber fraud money to the tune of Rs 640 crore generated through betting, gambling, part-time jobs and phishing scams etc, being siphoned off by way of layering through more than 5000 mule Indian bank accounts and subsequently uploaded on “PYYPL”, a UAE based payment platform,” it said.
“Part of the cyber fraud money was withdrawn in cash at Dubai through Master/Visa Indian Bank ATM cards,” the ED said.
The ED said its investigation unmasked a nexus of certain Chartered Accountants (CAs), Company Secretary (CS) and Crypto Traders, who were working in tandem in a systematic format, to launder the proceeds of crime collected.
During the search operation, two Chartered Accounts namely Ajay and Vipin Yadav and one Crypto Trader Jitendra Kasw have been arrested under the provisions of the PMLA, the agency said. “Further investigation has unearthed a large-scale money laundering racket operated with the assistance of handlers sitting abroad through closely held chat groups on instant messaging apps,” it said further.
“Instructions regarding opening of mule accounts, cash circulation and purchase of crypto are provided on this group account by the handlers. More than 2000 documents detailing debit/credit transactions in hundreds of bank accounts and purchase of crypto currency have been recovered and are being analysed,” the agency revealed.
During the search operation at the premise of the main accused CA Ashok Kumar Sharma, the ED team said it was attacked and restricted with force from entering the premise. “An FIR has been lodged by the Delhi Police on the complaint made by the ED,” it said.
“Delhi Police has arrested one of the persons namely Radhe Shyam Sharma, brother of Ashok Kumar Sharma, who is absconding,” the agency added.
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