ED raids mobile app offices dealing in cryptocurrencies

The Enforcement Directorate (ED) on Wednesday stated that they lately carried out search operations in Delhi, Gurugram (Haryana), Mumbai, Bengaluru and Salem (Tamil Nadu) in respect of a probe referring to the misuse of App-based token, named ‘HPZ’ and different related purposes by numerous entities.

The case was lodged on the premise of an FIR registered by the Cyber Crime Police Station, Kohima, Nagaland, towards HPZ token & others.

The official stated that HPZ Token was an App-based token which promised customers of excessive returns towards ‘funding’ in mining machines for Bitcoin and different cryptocurrencies.

“ED Investigation revealed that two entities, particularly Lillian Technocab Pvt. Ltd and Shigoo Technology Private Limited had been concerned in the working and gathering cash from traders in the identify of HPZ token,” the ED official stated.

The ED official additional stated that they learnt in the course of the investigation that one Bhupesh Arora with others had management over Shigoo Technology Private restricted and indulged in working unregistered gaming Apps/web site in this firm and numerous different entities and was gathering cash fraudulently from the gullible public in the garb of those Apps/web site.

“Searches had been additionally carried out on an entity based mostly in Chennai and associated individuals concerned in laundering of proceeds of crime in crypto property.

During the searches, the whole quantity of Rs 29.5 crore was freezed beneath PMLA as the identical was detected and located to be lying-in numerous Bank accounts/DEMAT Account,” the ED stated.

The official stated that numerous incriminating paperwork and digital proof had been additionally discovered and seizedin the course of the search.

With the present seizure, complete freezing in this case is now Rs 86.5 crore.

Further investigation in the matter is on.

(With inputs from IANS)