Indian Authorities Crack Down on BitConnect-Linked Fraud Network
The Enforcement Directorate of India has arrested two individuals linked to the BitConnect cryptocurrency scam, uncovering a criminal operation involving kidnapping, ransom demands, and large-scale crypto laundering.
Kidnapping Case Exposes Crypto Crime Ring
The suspects, Nikunj Pravinbhai Bhatt and Sanjay Kotadia, are alleged to have participated in a kidnapping where the victim was forced to hand over 2,254 BTC, 11,000 LTC, and over 1.45 billion Indian rupees in cash.
Illicit Crypto Converted and Layered for Money Laundering
Investigations reveal that a portion of the ransom was converted into ETH and USDT and then moved through multiple wallets to obscure the trail and evade detection.
Authorities Seize and Freeze Massive Assets
So far, Indian authorities have frozen and seized assets worth around 1.9 billion rupees, including crypto, stocks, and cash. The total value of assets seized in the BitConnect-linked case now exceeds 217 billion rupees.
BitConnect's Fraudulent Scheme Exposed
Authorities have confirmed that BitConnect falsely marketed itself as a high-yield investment platform, claiming to generate up to 40% monthly returns through proprietary trading bots — a complete fabrication designed to lure global investors.
- Massive sums of crypto and cash involved
- Multi-layered transfers used to obfuscate funds
- Investigation ongoing with further arrests expected