Amaravati: The Andhra Pradesh Crime Investigation Department (CID) has successfully cracked a major transnational cryptocurrency investment fraud involving approximately $1.5 million (nearly Rs 15 crore).
The CID traced the proceeds across international cryptocurrency platforms and secured a court order for the return of the defrauded assets to the victim.
According to a CID press release, the case was registered at the CID Police Station in Mangalagiri after a victim from Tenali was allegedly lured into investing in cryptocurrency with promises of high returns and subsequently cheated of Rs 15 crore.
The investigation revealed an organised international cybercrime syndicate that routed the proceeds through multiple cryptocurrency wallets and international platforms to conceal the origin and movement of the funds.
Investigators found that the victim initially transferred funds from her bank accounts to 13 non-custodial cryptocurrency wallets, including one wallet on Robinhood and 12 on-chain wallets. At the instigation of the accused, she subsequently transferred cryptocurrency to fraudulent investment platforms Honeycombapi.org and Alibarbit.bit, believing the investments to be genuine.
A total of 27 cryptocurrency transactions involving Bitcoin, Solana and Dogecoin, worth approximately $1.5 million, were made to the fraudulent platforms.
The funds were subsequently routed through structured layering patterns and multiple mule accounts before reaching Gate Global Corporation, a cryptocurrency exchange based in the Cayman Islands, the CID said.
Through detailed blockchain transaction analysis, technical investigation and international coordination, the CID traced the movement of the defrauded cryptocurrency and identified assets linked to the accused.
In particular, 15 Bitcoin transactions were traced to four accounts on the Gate.io exchange linked to the organised crime syndicate. The identified assets were frozen through judicial proceedings.
The investigation was carried out with technical assistance and coordination from the Indian Cyber Crime Coordination Centre (I4C), Ministry of Home Affairs.
The CID arrested eight accused in connection with the organised cybercrime syndicate. Of them, two belong to Hyderabad, two to Maharashtra, one to Malaysia, two to China, and one to Portugal.
A charge sheet has also been filed against the syndicate before the competent court.
According to the CID, a court in Guntur directed Gate Global Corp. to convert the cryptocurrency assets held in the four identified accounts into USDT at the prevailing market value and transfer the entire converted amount to the victim’s designated cryptocurrency wallet.
The CID described the development as a significant achievement in investigating complex transnational cyber fraud, tracing proceeds of crime across international cryptocurrency platforms and securing the recovery of the victim’s assets.
(IANS)
