Himachal cryptocurrency scam: SIT seizes Rs 12 cr assets of key accused

Lalit Mohan

Dharamsala, November 7

The Special Investigation Team (SIT) of the Himachal Pradesh Police has seized properties worth Rs 12 crore that were in the name of main accused in the cryptocurrency scam. Most of these properties were in Zirakpur area of Punjab in form of residential plots and shop-cum-commercial complexes. The sources available here said though the registered value of the confiscated properties was about Rs 12 crore, its market value might be three times of the registered value.

Another startling fact that come to light in the case was that police has found insignificant amount in accounts of the accused. As per the sources, most of the transactions were done in cash.

DIG North Range Abhishek Dular, who is heading the SIT, said “It seems the main accused converted the money earned from the scam into immoveable assets in Chandigarh and its periphery. We have confiscated the properties that were directly in the name of the accused. Further investigation into the case was on and we are trying to locate benami properties that the accused might have created.”

Asked if money earned in the scam could have been sent outside the country through hawala, the DIG said till date no evidence of this sort has come to the fore in investigation.

The sources told The Tribune that main accused Subhash Sharma, a resident of Sarkaghat in Mandi district, was into selling consumer goods through multi-level marketing before he started selling fake cryptocurrency.

His other associates, Hemraj and Sukhdev, were also into selling of consumer goods through multi-level marketing. They used the network that they had created through multi-level marketing of consumer goods to sell fake cryptocurrency.

They initially started selling Korvio and DGT crypto coins across the state. Later, they also sold Hype, another fake crypto currency created by a Meerut-based engineer. By 2022, the circle of investments started crumbling and accused started defaulting on payments to investors. Sharma fled the country along with his family members.

Dular said besides Sharma, many others made crores in the scam. The police have so far arrested 18 persons in the case and many more would be in the police net soon, he said. However, the sources said the police had received only 350 complaints from people, who lost money in the scam so far.

Used multi-level marketing network

• Key accused Subhash Sharma used to sell consumer goods before he started selling fake cryptocurrency
• His accomplices Hemraj and Sukhdev also sold consumer goods through multi-level marketing
• They used the network created through multi-level marketing of consumer goods to sell fake cryptocurrency

Initial investors lured by hefty returns

• The initial investors were lured by hefty returns as high as 10 per cent per month and they later became agents
• They started luring more people into investing in fake cryptocurrencies and in turn were paid hefty commissions
• Social media propaganda that people had made fortunes through investments in cryptocurrencies also helped the accused increase their consumer base
• Since many influential people started luring others into investing in fake cryptocurrencies, the consumer base under the racket swelled to lakhs