Enforcement Directorate seizes properties of Raj Kundra worth Rs 97.79 crore in Bitcoin ponzi scam probe

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The Enforcement Directorate (ED) has taken possession of properties valued at Rs 97.79 crore linked to Raj Kundra in connection with an investigation into a Bitcoin Ponzi scheme.

 

Kundra, notable as the husband of Bollywood actor Shilpa Shetty, finds himself embroiled in a legal quagmire as authorities scrutinise his alleged involvement in the financial irregularities.

What properties of Raj Kundra were seized

The seized properties comprise a residential flat in Juhu, currently under the ownership of Shilpa Shetty, along with a residential bungalow in Pune and equity shares held by Raj Kundra. Both Kundra and Shetty have vehemently refuted any association with the purported scam.

“There is no prima facie case made out against my clients Mr. Raj Kundra and Mrs. Shilpa Shetty Kundra. I believe when we make our fair representation before the Honourable Enforcement Directorate, even the investigation agencies may grant justice to us. We have faith in the fair investigation,” NDTV quoted their lawyer Prashant Patil as saying.

Case against Raj Kundra

At the heart of the investigation lies an alleged ponzi scheme, a fraudulent scheme promising substantial returns to investors with minimal risks.

The ED initiated its probe following multiple complaints filed by the Maharashtra and Delhi Police against Variable Tech Private Limited and several individuals, including Amit Bhardwaj, Ajay Bhardwaj, Vivek Bhardwaj, Simpy Bhardwaj, Mahender Bhardwaj, and others.

The investigation alleges that the accused amassed approximately Rs 6,600 crore in Bitcoins in 2017 by duping investors with promises of monthly returns of 10 percent through Bitcoin investments. The perpetrators purportedly concealed the ill-gotten Bitcoins in obscure online wallets.

During the course of the investigation, it came to light that Raj Kundra had received 285 Bitcoins from Amit Bhardwaj, the alleged mastermind behind the ‘Gain Bitcoin’ Ponzi scheme. These Bitcoins were intended for establishing a Bitcoin mining farm in Ukraine. However, the venture failed to materialise, leaving Kundra in possession of the Bitcoins, currently valued at more than Rs 150 crore.

It’s worth noting that Raj Kundra faced arrest in 2021 in connection with a case involving the production and distribution of pornographic films via a subscriber-driven mobile app named ‘Hotshots’. He was subsequently granted bail by the Supreme Court in that case.

As investigations into the alleged Bitcoin Ponzi scheme progress, Kundra and Shetty maintain their innocence, placing their trust in the judicial process to deliver a fair outcome.