Officer in India involved in Crypto Fraud Uncovered
I've recently just read on Coinatory that about an Indian police officer being arrested for illegally taking 1.8 crores INR ($216,000) in Bitcoin connected to an investigation into a cryptocurrency scam.
This officer, Chandrahar SR, had the rank of inspector in the Central Crime Branch (CCB). He reportedly accessed the Bitcoin wallet of hacker Srikrishna Ramesh in the course of an ongoing probe.
The cryptocurrency fraud originated in 2017 and was centered around hacking into cryptocurrency exchanges like Unocoin, as well as Bitfinex, leading to illicit profits amounting to INR 5.5 crores ($660,000). https://coinatory.com/cryptocurrency-news/indian-officer-arrested-for-bitcoin-scam-19443/ , along with his associate Robin Khandelwal, attempted laundering of these stolen funds using Bitcoin. They were apprehended in 2020. Initially, the CCB claimed the Bitcoins were unrecoverable, blaming Ramesh for manipulating the "Bitcoin core application" to deceive the investigation.
It turns out that Chandrahar is accused of coercing Khandelwal to move the funds while detained and then destroyed all evidence of the transactions. The Special Investigation Team discovered Chandrahar, along with two other CCB officers and a private cyber expert, Santosh Kumar, accessed the Bitcoin wallet at Kumar’s office in Bengaluru between December 30, 2020, and January 6, 2021.
The allegations against Chandrahar and his colleagues are grave, comprising illegal confinement, breach of public trust, and destruction of evidence. Chandrahar had been evading arrest but was eventually captured at his residence in North Bengaluru. Two more police officers have been detained in connection with this Bitcoin fraud.
Lately, India has experienced a surge in cryptocurrency scams and frauds, prompting regulatory authorities to tighten their oversight of the nation’s cryptocurrency sector. With the growing popularity of cryptocurrencies, illicit activities have also increased, making it essential for law enforcement and regulatory bodies to stay vigilant.
In summary, this situation highlights the weaknesses within the crypto world and the necessity of stringent regulatory measures. It further underscores the need for accountability and integrity among law enforcement officials involved in these delicate probes. According to Coinatory, the case of Chandrahar SR serves as a stark reminder of the complexities and risks associated with cryptocurrency scams and the critical role of regulatory oversight in protecting the financial ecosystem.