The Central Bureau Of Investigation (CBI) conducted a search in different locations, including Delhi, Pune, Nanded, Kolhapur, Mumbai, Bengaluru, Hubi, Chandigarh, Mohali and Jhansi over the last two days, where the investigating agency found the GainBitcoin scam. The CBI froze the cryptocurrency worth ₹23.94 crore.
“The fraudulent scheme, launched in 2015 by Amit Bhardwaj (deceased since) along with Ajay Bhardwaj and others, had promised investors 10% monthly returns on Bitcoin investments for 18 months. The scheme followed a multi-level marketing (MLM) structure, enticing investors through lucrative commissions for referrals, the agency said.
The scam, which operated as a Ponzi scheme, duped thousands of investors under the pretence of offering high returns, around 10% monthly, on Bitcoin investments for 18 months.
During the searches, the investigation agency seizes multiple hardware crypto wallets, 121 documents, 34 laptops/hard disks, 12 phones, and multiple emails and instant messaging apps along with the cryptocurrency.
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“The seized documents and electronic devices are currently under analysis to uncover further details regarding the misappropriation of funds and potential international transactions linked to the scam,” the CBI said.
About GainBitcoin
GainBitcoin was launched several years ago and quickly gained popularity among investors looking to exploit the booming cryptocurrency market. The platform attracted numerous individuals seeking 10-20% return each month, leading to widespread nationwide involvement. However, it was only after regulatory authorities began to investigate that the platform’s true nature was uncovered.
