- The Central Bureau of Investigation (CBI) in India launches a nationwide search operation targeting individuals and companies involved in the HPZ Token App scheme.
- The operation spans 30 locations across 10 states and Union Territories.
- The CBI seizes incriminating documents and digital evidence during the raids.
- The HPZ Token App promised high returns on investments through a non-existent cryptocurrency mining machine rental scheme.
- Approximately 150 bank accounts allegedly used by the accused to collect funds from investors have been identified.
- The Directorate of Enforcement (ED) also seized frozen crypto assets worth ₹90 crore ($10 million) in connection with a gaming app scam.
Nationwide Search Operation Targets Crypto Investment Fraud
The Central Bureau of Investigation (CBI) in India has initiated a widespread search operation targeting individuals and companies allegedly involved in a fraudulent cryptocurrency investment scheme perpetrated through the HPZ Token App. With raids conducted across 30 locations spanning 10 states and Union Territories, the CBI aims to dismantle the illicit operation that has misled investors.
The HPZ Token App, promising lucrative returns on investments through cryptocurrency mining machines, attracted unsuspecting victims with the allure of substantial profits from Bitcoin mining endeavors. However, investigations reveal that the scheme was built on deceit, with no tangible mining infrastructure to support its claims.
During the raids, authorities seized crucial evidence, including incriminating documents and digital devices such as mobile phones and hard drives, essential for uncovering the depth of the fraudulent activities. Additionally, the discovery of approximately 150 bank accounts allegedly linked to the accused sheds light on the extensive network facilitating the scam.
ED Seizes Frozen Crypto Assets in Gaming App Scam
In a parallel development, the Directorate of Enforcement (ED) announced its crackdown on a major crypto money laundering case associated with a gaming app. Seizing frozen crypto assets worth ₹90 crore ($10 million), the ED uncovered the intricate web of deception woven by the operators of the app, known as E-Nugget.
Disguised as a gaming platform, E-Nugget targeted gamers with promises of exponential returns on their investments. The frozen assets, stored across 70 accounts linked to prominent crypto wallets like Binance, ZebPay, and WazirX, were swiftly taken into the possession of the ED. This latest enforcement action underscores India’s commitment to combating fraudulent activities within the burgeoning cryptocurrency landscape.