Troubles persist for CoinDCX as sources suggest that more individuals could face scrutiny in the ongoing Rs 71 lakh fraud case. The investigation into the alleged cryptocurrency fraud associated with CoinDCX is expected to expand soon, possibly leading to additional arrests. Authorities are currently looking into the involvement of several accused individuals mentioned in the FIR, with four of them currently evading arrest.
The case initially resulted in the apprehension of CoinDCX co-founders Sumit Gupta and Neeraj Khandelwal by Mumbra police in Bengaluru. Following a complaint alleging that an insurance adviser was defrauded of approximately Rs 71.6 lakh through a crypto-related scheme over seven months, the arrests were made. However, a significant development occurred when the complainant informed a Thane court through an affidavit that he had recovered his funds from one of the six accused and no longer harbored any grievances, as per various media reports.
In response to this, Gupta and Khandelwal filed a bail plea, and the court is currently deliberating on the matter. Subsequent to the conclusion of their police remand, the two founders were remanded to judicial custody. The complainant was reportedly enticed in mid-2025 with promises of substantial returns and a supposed cryptocurrency franchise associated with CoinDCX, as per police statements. Assured of monthly returns ranging from 10 to 12 percent and offered franchise rights in Maharashtra, he made multiple payments via online transfers and cash.
Despite assurances, neither the promised returns nor the franchise materialized, prompting the complainant to seek police intervention earlier this month. CoinDCX has consistently refuted any involvement in the alleged fraud, labeling the FIR as “false” and part of a broader scheme involving impostors misusing its brand. The company maintains that the fraud did not occur on its official platform but through counterfeit websites posing as CoinDCX and its founders. However, the Enforcement Directorate (ED) had seized assets worth Rs 8.46 crore last year in connection with a nationwide cyber fraud investigation.
