ED confiscates Rs. 90 crore in E-nuggets case from Binance, WazirX, and ZebPay wallets

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The Directorate of Enforcement (ED), Kolkata, has dismantled a major online gaming scam under the image of the app “E-Nugget”. The app, which attracted users with promises of returns on investments through real-money gaming, has been revealed as a fraudulent scheme, leaving investors in financial danger.

The charm of E-Nugget attracted users with the prospect of profits, presenting itself as an opportunity for investment. However, the reality quickly unfolded as the app vanished after collecting funds, leaving investors stuck and unable to recover their money.

Aamir Khan, identified as the individual behind the fraudulent scheme, has been arrested and is currently in judicial custody awaiting further legal proceedings.

In 2022, ED exposed its operations and uncovered a portion of the illegal proceeds invested in digital assets. An investigation revealed the existence of nearly 2500 dummy bank accounts, which were used to siphon off funds. During subsequent searches, authorities seized approximately Rs. 19 Crore in cash. Furthermore, assets valued at over Rs. 163 crore, including cash, cryptocurrencies, account balances, and office space, have been attached, seized, or frozen.

Aamir Khan and Romen Agarwal were arrested under the provisions of the Prevention of Money Laundering Act (PMLA), 2002, and Prosecution Complaints were filed against them in the matter.

In the effort to combat fraudulent activities, the Enforcement Directorate (ED) conducted a search operation on 66 bank accounts associated with cybercrimes. Consequently, an amount totaling Rs. 2.43 crore has been frozen under the provisions of the Prevention of Money Laundering Act (PMLA), 2002.

To recover the defrauded funds, the ED has initiated efforts to trace and freeze assets associated with the scam. Details pertaining to numerous crypto wallets, including those with prominent exchanges such as Binance, ZebPay, and WazirX, were sought by the authorities. The ED successfully froze funds amounting to nearly Rs. 90 Crore across 70 accounts linked to the scam.

These frozen crypto assets have been seized by the ED and transferred into their custody, marking a step towards restitution for the victims of the E-Nugget scam.

The operation highlights the ED’s commitment to combating financial fraud and protecting investors from deceptive schemes within the online gaming sector. As investigations continue, authorities remain vigilant in their pursuit of justice and accountability for those responsible for perpetuating such fraudulent activities.