NEW DELHI: The Enforcement Directorate on Friday conducted first ever raids in the Union Territory of Ladakh as part of its money laundering probe linked to a cryptocurrency fraud case in which it is alleged that 2,508 investors lost more than Rs 7 crore worth of deposits, officials said.
The searches, carried out by the agency’s zonal office, targeted at least six locations across Leh town in Ladakh, Jammu in Jammu and Kashmir, and Sonipat in Haryana in the case against A R Mir and others.
The case of money laundering originated from an FIR lodged in Leh in March 2020, along with several other complaints filed within the Jammu and Kashmir against individuals named Mir and Ajay Kumar Choudhary.
A fraudulent cryptocurrency venture operating under the name “Emollient Coin Limited” allegedly duped 2,508 investors who invested Rs 7,34,36,267 in the investment plan offered by Mir and the company, Emollient, which was incorporated in September 2017 with its registered office in London. The company’s director was a man named Henry Maxwell, residing in the UK capital.
The investors never received any returns or currency back, as the funds were misappropriated by the company’s promoters to buy land assets in Jammu.
According to the FIR filed by the Leh police, a committee established by the local district magistrate conducted an investigation into Mir and his agents who were operating the fraudulent cryptocurrency business called Emollient Coin Limited from an office situated at the Anjuman Moin-Ul-complex, opposite SNM Hospital, in Leh.
The committee sealed the office during the inquiry, alleging that they were “cheating many innocent individuals by assuring them to double their investment.”
As per ED officials, the accused enticed individuals from the UT of Ladakh and other regions to invest in “Emollient Coin” using cash or bank transfers. The depositors were also deceived with the promise of returns up to 40 percent with a lock-in period of 10 months, in the name of “Bitcoins”.
The ED discovered that investors were offered a commission of up to 7 per cent of the investment made by people they referred to the business, creating a multi-level marketing scheme.
Naresh Gullia and Channi Singh were the company’s two promoters in India. In March 2019, the company was “deliberately” dissolved, and Mir, along with Choudhary, ventured into the real estate business, acquiring lands in Jammu using the funds generated from the fraudulent cryptocurrency trade.
(With inputs from agencies)
The searches, carried out by the agency’s zonal office, targeted at least six locations across Leh town in Ladakh, Jammu in Jammu and Kashmir, and Sonipat in Haryana in the case against A R Mir and others.
The case of money laundering originated from an FIR lodged in Leh in March 2020, along with several other complaints filed within the Jammu and Kashmir against individuals named Mir and Ajay Kumar Choudhary.
A fraudulent cryptocurrency venture operating under the name “Emollient Coin Limited” allegedly duped 2,508 investors who invested Rs 7,34,36,267 in the investment plan offered by Mir and the company, Emollient, which was incorporated in September 2017 with its registered office in London. The company’s director was a man named Henry Maxwell, residing in the UK capital.
The investors never received any returns or currency back, as the funds were misappropriated by the company’s promoters to buy land assets in Jammu.
According to the FIR filed by the Leh police, a committee established by the local district magistrate conducted an investigation into Mir and his agents who were operating the fraudulent cryptocurrency business called Emollient Coin Limited from an office situated at the Anjuman Moin-Ul-complex, opposite SNM Hospital, in Leh.
The committee sealed the office during the inquiry, alleging that they were “cheating many innocent individuals by assuring them to double their investment.”
As per ED officials, the accused enticed individuals from the UT of Ladakh and other regions to invest in “Emollient Coin” using cash or bank transfers. The depositors were also deceived with the promise of returns up to 40 percent with a lock-in period of 10 months, in the name of “Bitcoins”.
The ED discovered that investors were offered a commission of up to 7 per cent of the investment made by people they referred to the business, creating a multi-level marketing scheme.
Naresh Gullia and Channi Singh were the company’s two promoters in India. In March 2019, the company was “deliberately” dissolved, and Mir, along with Choudhary, ventured into the real estate business, acquiring lands in Jammu using the funds generated from the fraudulent cryptocurrency trade.
(With inputs from agencies)
