Nagaland Court Declares Cryptocurrency Fraudster a Fugitive
Dimapur, Nagaland – In a significant legal development, the Dimapur court has declared Bhupesh Arora, the alleged mastermind behind the staggering Rs 2,200 crore cryptocurrency scam involving the HPZ Token, a fugitive under the Fugitive Economic Offenders Act (FEOA). This pivotal decision was made by Justice N Longshithung Ezung on Wednesday, granting the Enforcement Directorate (ED) the authority to seize all of Arora’s assets.
Arora, who is believed to have fled to Dubai, orchestrated a massive investment fraud that lured unsuspecting investors with promises of astronomical returns on cryptocurrency transactions. The scam primarily targeted residents in Nagaland and Assam, leading to investigations by the ED, following a First Information Report (FIR) filed by the Nagaland Police in 2022. This investigation quickly escalated, prompting the Assam Police and the Central Bureau of Investigation (CBI) to also pursue FIRs against the operation.
The ED’s findings reveal a complex web of deceit, with funds allegedly funneled through over 140 shell companies and approximately 200 bank accounts scattered across 20 Indian states. The majority of these shell companies were registered in Delhi, followed by Karnataka and Haryana. The operation relied on various payment gateways, including Razorpay and Paytm, to facilitate transactions totaling nearly Rs 200 crore.
This case highlights the growing menace of cryptocurrency-related scams in India, showcasing how vulnerable investors can be misled by promises of quick riches. As investigative agencies race to trace the money trail and apprehend those responsible, the HPZ Token scam serves as a stark reminder of the risks associated with the burgeoning cryptocurrency market. Authorities are urging potential investors to exercise caution and conduct thorough due diligence.
