Hyderabad: Andhra Pradesh Police’s Crime Investigation Department (CID) has busted a major transnational cryptocurrency fraud involving nearly $1.5 million (approximately Rs 15 crore)—its first in the state—and arrested eight people, including suspects from Malaysia, China and Portugal. This comes amid growing concerns over cryptocurrency-related fraud, following the record-breaking $6 billion wipeout at Binance, the world’s largest centralised cryptocurrency exchange by trading volume, attributed to hackers. Authorities have reiterated the need for vigilance while investing in cryptocurrencies and online investment schemes.
According to Andhra Pradesh Police, the CID investigation uncovered an organised transnational cybercrime syndicate that routed the proceeds through multiple cryptocurrency wallets and international platforms to conceal their origin and movement. Briefing the media in Mangalagiri, Guntur, on Wednesday, police said a woman from Tenali was lured into investing in cryptocurrency with promises of high returns and cheated of Rs 15 crore.
The victim initially transferred funds from her bank accounts to 13 non-custodial cryptocurrency wallets, including one on Robinhood and 12 on Onchain. At the accused’s instance, she subsequently transferred cryptocurrency from these wallets to fraudulent investment platforms Honeycombapi.org and Alibarbit.bit, believing them to be genuine. In all, 27 transactions involving Bitcoin, Solana and Dogecoin, worth approximately $1.5 million, were made to these platforms.
Show Full Article
Through sustained investigation, detailed blockchain analysis, technical expertise and international coordination, the Andhra CID traced the movement of the defrauded cryptocurrency and identified assets linked to the accused. In particular, 15 Bitcoin transactions were traced to four accounts on the Gate.io exchange, which were linked to the syndicate.“Funds were routed through structured layering patterns and multiple mule accounts to obscure their origin and movement before reaching Gate Global Corporation, a cryptocurrency exchange based in the Cayman Islands,” a police note said.The identified assets were later frozen through judicial proceedings by the police.The investigation involved technical assistance and coordination with the Indian Cyber Crime Coordination Centre (I4C), under the Union Ministry of Home Affairs. The CID team identified and arrested eight accused—two from Hyderabad, two from Maharashtra, one from Malaysia, two from China and one from Portugal.After the chargesheet was filed against the syndicate before the competent court, the court ordered the return of the cryptocurrency assets.The VI Additional Junior Civil Judge-cum-Special Court for CID Cases, Guntur, issued a Return of Property Order dated 30 October, directing Gate Global Corporation to convert the cryptocurrency assets held in the four identified accounts into USDT at the prevailing market value and transfer the entire amount to the victim’s designated wallet.The Andhra Pradesh government and the Home Department announced a reward of Rs 10,000 for the investigation team in recognition of its work. Led by DGP, CID, Ravi Shankar Ayyanar, IPS, the team comprised D Kasi Viswanadh, Inspector of Police; B Venkatewara Rao, Head Constable; and T Vijay Krishna.The police also issued a public advisory urging people to exercise caution while investing in cryptocurrencies and online investment schemes. “Greed can often be exploited to deceive people. Do not be misled by individuals or platforms promising guaranteed or unusually high returns. Before investing, verify the authenticity and regulatory status of the platform. Ensure that the exchange is genuine, appropriately registered and compliant with applicable norms of the Ministry of Electronics and Information Technology,” the DGP, CID, said.The police urged cryptocurrency users to educate themselves about digital assets, exercise caution while browsing websites and verify their authenticity before investing large sums. They also advised the public against transferring funds to unknown cryptocurrency wallets or websites. They urged victims of online financial fraud or cybercrime to report incidents promptly to law enforcement authorities by calling the National Cyber Crime Helpline at 1930 or filing a complaint at www.cybercrime.gov.in.(Edited by Chingkheinganbi Mayengbam)
Also Read: India needs digital neighbourhood policy. Myanmar scam compound, crypto wallets are at border
Click Here For The Original Source.
——————————————————–
