Three Indian Veterans Scammed Out of $96,000 in Cryptocurrency

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Details of the Scam

Three retired Indian army veterans have reported to the Pune police that they were scammed out of nearly $96,000 (around Rs 79.81 lakh) in cryptocurrency investments. According to their complaint, the ex-servicemen aimed to safeguard their pension funds and were lured by promises of quick and high returns. A specific cryptocurrency platform assured them they could double their investments within 20 months, guaranteeing a 10% return on the amount deposited.

How the Scam Was Conducted

The cryptocurrency scheme’s organizers aggressively marketed their investment products through seminars held in Lonavla and Wagholi earlier this year. These events were initially presented as educational sessions designed to inform potential investors about the advantages of cryptocurrencies. However, it became clear that these “educational” conferences were actually a front to attract investors into the crypto scheme.

Legal Proceedings and Investigations

The company’s director and his partner, also an ex-military man, had previously been arrested on similar charges. They are currently in custody at Yerawada jail. The police are now seeking court approval for further interrogation to gather more evidence. Investigators are also trying to identify if additional victims were misled by the scheme’s organizers.

Related Cases and Cautionary Note

In June, Indian authorities arrested the founder of the Max Crypto Trading pyramid scheme, where over 50 investors lost $200,000. In August, local police detained a man suspected of kidnapping individuals promoting the BitConnect crypto platform. This incident serves as a stark reminder for cryptocurrency enthusiasts, Bitcoin miners, and financial analysts to exercise caution and thoroughly vet investment opportunities, especially those promising high returns in a short period.