New Delhi: A fake cryptocurrency scam has come to force in the country in the name of a new cryptocurrency, 1200 crore rupees have been cheated by about 900 people. Enforcement Directorate has disclosed this. In connection with this scam, the Enforcement Directorate (ED) has raided many places in the country. A person from Kerala is believed to be its mastermind who has fled the country. Money laundering cases are already going on against him.
The Enforcement Directorate has also raided the premises of a film actor from the south. However, the actor has denied any connection of these raids to the cryptocurrency scam. The scamsters have carried out this scam under the guise of Initial Coin Offering (IOC). Most of the cheated people had bought the fake coin “Morris Coin”, during the lockdown in 2020.
Execute such a scam
According to a news report published in the English newspaper Indian Express quoting Enforcement Directorate sources, the fake cryptocurrency “Morris Coin” was listed in 2020 along with the Coimbatore-based cryptocurrency exchange Franc Exchange. It was presented to the public in the same way an IPO is offered. The price of 10 Morris coins was kept at Rs 15,000 and its lock-in period was 300 days. An e-wallet was also given to the investor. The promoter of this fake cryptocurrency has lured the investors that it will soon become expensive.
Initially, companies like Long Rich Technologies, Long Rich Trading, and Long Rich Global initially attracted investors by telling them that they have an online education app. It later introduced Morris Coin as its own cryptocurrency and claimed it was listed on a cryptocurrency exchange. Apart from this, he also ran some quick money doubling schemes and took money from investors.
Money invested in real estate and other works
ED sources say that the scamsters invested in real estate illegally with the money taken from the investors. Most of the investments were made in Kerala, Tamil Nadu, and Karnataka. He did not reveal the source of the amount invested. ED has been conducting guerilla action in Kerala, Tamil Nadu, and Delhi for the last several days. Those who have been raided include Bengaluru-based Long Rich Technologies and Morris Trading Solutions.
The 31-year-old young man is the kingpin
The ED has described a youth named Nishad, a resident of the Mallapuram district of Kerala, as the mastermind of this entire scam. ED officials say that actor Mukunandan has relations with Nishad. However, he refused to divulge the nature of the relationship. Last year, the police had registered a case against Nishad for cheating and running chit fund schemes in Kannur and Mallapur. After this, the ED started the investigation of this case. Nishad was arrested by the police but left the country after being released on bail.
