KOHIMA: A special court in Dimapur, Nagaland, has proclaimed Bhupesh Arora the “kingpin” of the Rs. 2,200 crore crypto currency scam involving the HPZ Token and has designated him a fugitive under the Fugitive Economic Offenders Act (FEOA) of 2018.
According to the Enforcement Directorate on Thursday, Arora, a Delhi native, is believed to have fled to Dubai. On Wednesday, the court issued an order regarding a case that was initially submitted by the cyber crime police station in Kohima, the capital of Nagaland, and was subsequently transferred to the ED.
The ED’s investigation uncovered that a plethora of unsuspecting investors from all over the country were deceived by the use of an app-based token known as the “HPZ Token” to promise substantial returns on investments in Bitcoin and other cryptocurrency mining.
The ED has already attached and sequestered Rs. 497.20 crores of the Rs. 2,200 crores in proceeds of crime that have been uncovered thus far. The investigation agency is now able to seize all of Arora’s assets as a result of the court’s declaration.
“The investigation revealed that numerous shell companies and individuals/proprietorship concerns were the recipients of substantial funds that were collected by deceiving the general/gullible public throughout India through a variety of fraudulent schemes.”
Bhupesh Arora and his close associates were the perpetrators of these fraudulent schemes, defrauding the credulous public in all regions of India, as evidenced by the statements of individuals, proprietors, and directors that were recorded during the PMLA investigation.
The ED stated in a statement on Thursday that the deposited amount was subsequently transferred to create an untraceable layer of transactions at the behest of Arora. Subsequently, the considerable money was also siphoned out of India after several layers.
The ED has affixed nine immovable properties in Delhi, each valued at Rs. 2.05 crore, as well as 286 bank and virtual accounts in 20 states, including Delhi, Maharashtra, Rajasthan, Assam, Uttar Pradesh, Chhattisgarh, Madhya Pradesh, Odisha, and Telangana, that contain Rs. 459.79 crores. The properties are owned by Arora.
The ED also disclosed that Arora had established more than 200 companies, including private limited companies, either in his own name or under the names of his relatives and close associates, in order to establish an untraceable layer for money laundering.
In response to summons issued under section 50(2) of the PMLA, 2002, as well as another summons order from the Gauhati High Court, Kohima bench, on September 25, 2023, the ED stated that Arora failed to attend. In July 2024, the court issued a non-bailable warrant.
After the PMLA case was initiated in September 2022, the accused departed India for Dubai, as per the ED, in order to elude criminal prosecution. They have refused to return to India to face the charges.
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