Law enforcement agencies in Delhi and Hong Kong have recently cracked down on major crypto scams that have been deceiving investors with false promises and fraudulent schemes.
In Delhi, the police seized over 100,000 USDT in digital assets and arrested multiple individuals involved in a sophisticated fraud operation. The perpetrators were posing as representatives of a fake entity called “M/s Goldcoat Solar,” claiming to have government authorization to contribute to India’s renewable energy expansion. They misled investors by promising substantial returns and using the country’s renewable energy goals as a cover for their scam.
The fraud gained traction on social media platforms, where the fake company was promoted as a legitimate investment opportunity. By impersonating government officials and using false endorsements, the fraudsters managed to deceive individuals into investing their money. Funds deposited by victims were then funneled through banks and converted into digital assets. With the help of Binance, law enforcement was able to track down the suspects by tracing the financial transactions.
In a related incident in Hong Kong, the police arrested 27 individuals involved in a cross-border crypto fraud scheme that amassed over HK$360 million. The fraud center operated from a well-organized facility in Hung Hom, where the group used “romance scams” to trick victims into investing in crypto. By employing technology experts and collaborating with overseas fraudsters, the scammers created a fake crypto investment platform and used deepfake technology to manipulate victims into believing they were engaging in romantic relationships.
The Hong Kong Police Force arrested 21 men and six women on charges of conspiracy to defraud and possession of offensive weapons. The fraud center was described as unusually large and meticulously organized, highlighting the sophistication of the operation.
These crackdowns on major crypto scams in Delhi and Hong Kong emphasize the importance of collaboration between law enforcement agencies and industry players like Binance in combating fraudulent activities in the crypto space. Investors are advised to exercise caution and conduct thorough research before investing in any crypto-related opportunities to avoid falling victim to such scams.