Eight more people, including four police officers, have been arrested in India in connection with a cryptocurrency scam that has reached $300 million.
When this bogus plan first surfaced in late September, thousands of people—including police and government officials—were tricked into falling for it.
Over 100,000 people have invested in crypto fraud.
The fraud, which is thought to have started in 2018, enticed victims with investment schemes centered around the local cryptocurrency Korvio Coin (KRO coins).
As the plan came to pass, it involved the use of multiple other cryptocurrencies via phony websites, including at least one rug pull in which the project was shelved after investors had purchased tokens.
The fact that police personnel were involved in this fraud—more than 1,000 policemen were duped—sets it apart.
While some unintentionally suffered harm, others took an active part and started promoting.
Authorities Step Up Their Probe Into The Ponzi Scheme
Following the filing of about 56 complaints during the previous two years, a thorough investigation was carried out by several authorities, including the Enforcement Directorate and local police units, under the direction of a Special Investigation Team (SIT).
In the parliament of Himachal Pradesh, independent MLA Hoshyar Singh exposed the scandal. The swindle was estimated to be worth $20 million at the time.
As previously reported, officials recovered about 250,000 identity cards connected to the accused during raids at many sites.
It has been stated that over 100 people made $240,000 each from the scam, while another 200 made about $120,000 each. Subhash Sharma, the suspected mastermind, is still at large despite the fact that 18 arrests have been made thus far.
The Enforcement Directorate is looking into five women for possible involvement as kingpin agents or promoters. The victims, who come from a variety of backgrounds, put in a total of ₹2,500 crore into this sophisticated Ponzi operation.
India is currently seeing a notable increase in complex cryptocurrency scams, and law enforcement is having difficulty apprehending those responsible.