Law enforcement authorities in the Indian state of Maharashtra have arrested suspects in connection with a cryptocurrency scam. CoinDesk reports.
According to investigators, Ritesh Dilip Kumar Sikligar and Mohan Patil promised investors high returns on investments in the digital assets SMP and Magic 3x. At the same time, the coins were not traded on any exchange.
“Criminals enticed clients, promising interest rates from 0.05% to 1% per day depending on the amount invested,” police explained.
The scheme is believed to have affected more than 1,400 people. Law enforcement officials said they could not quote a precise loss amount due to discrepancies, but suggested it could amount to between $6 million and $12 million.
According to the report, there are currently 24 victims who have lost 4.4 million rupees ($55,140). Law enforcement officials noted that the number of victims is expected to rise as investigations proceed.
Earlier in August, the Israeli authorities arrested three suspects in connection with an international cryptocurrency-based money-laundering scheme.
Earlier, the US Federal Trade Commission estimated losses from crypto-related crimes at more than $1 billion.
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