India’s Enforcement Directorate (ED) has frozen cryptocurrencies (WazirX token WRX and Ethereum token USDT) equivalent to ₹4.76 million ($58k) as part of an investigation into one defendant and others in relation to E-Nuggets, a mobile gaming app.
The defendant launched E-Nuggets with the purpose of defrauding the public. The app collected a large sum from the public, which was then suddenly withdrawn from the app. Thereafter, the app was stopped and all user data was deleted from its servers.
The ED’s investigation revealed that the defendant was transferring the fraudulently obtained money by using cryptocurrency exchange. Cryptocurrency equivalent to ₹4.76 million ($58k) was found in the defendant’s and co-conspirators’ WazirX (crypto exchange) wallet. This crypto wallet has been frozen. During a search conducted at the defendant’s residential premises, cash worth ₹173.2 million ($2.13m) was seized. Additionally, Bitcoin worth $674,255.70 found in the defendant’s Binance wallet was frozen.
Source: Enforcement Directorate, India