In brief
- Chirag Tomar, jailed in the U.S. for a $20 million crypto scam involving fake Coinbase websites, has $4.8 million (₹42.8 crore) in assets seized by India’s Enforcement Directorate.
- Authorities say Tomar ran a sophisticated phishing scheme and funneled proceeds into Indian bank accounts via P2P platforms.
- ED has attached 18 properties in Delhi and frozen bank accounts; investigation into the laundering operation is “under progress.”
India’s Enforcement Directorate has confiscated $4.8 million (₹42.8 crore) in assets belonging to a citizen currently imprisoned in the U.S. for defrauding crypto investors of $20 million via fake Coinbase websites.
The financial crimes agency announced Tuesday it had frozen 18 real estate properties in Delhi and bank accounts tied to Chirag Tomar, 31, along with those of his relatives and business associates.
“Escaping crypto fraud is no longer an option—bad actors will be tracked, exposed, and jailed,” Sudhakar Lakshmanaraja, founder of the blockchain education platform Digital South Trust, told Decrypt.
“The Government of India has the tools, resolve, and international coordination to crack down on financial crime in the digital asset space,” he added.
Tomar received a five-year federal prison sentence in October 2024 for masterminding a sophisticated phishing scheme targeting the popular crypto exchange platform.
His criminal enterprise relied on creating counterfeit Coinbase websites that fooled users into revealing their account credentials.
Investigators discovered that Tomar laundered roughly $72 million (₹600 crore) worth of stolen digital assets through various trading platforms before converting them to Indian rupees.
Tomar’s team manipulated search engine results so their fraudulent sites would rank higher than legitimate ones, making victims more likely to stumble upon them during routine searches.
“The spoofed website appeared exactly similar to the trusted website except for the contact details,” the ED said in its official statement.
When users attempted to log into these fake platforms, they received false error messages directing them to call bogus customer support numbers.
The fraudsters posing as Coinbase representatives would then trick callers into sharing security codes or allowing remote computer access, enabling them to empty the crypto accounts.
Tomar funneled these illegal profits into purchasing high-end timepieces, luxury sports cars, including Lamborghinis and Porsches, and financing international travel.
The scheme operated for over two years until authorities arrested Tomar at Atlanta’s airport in December 2023 when he returned to the U.S.. He admitted guilt to conspiracy charges in May 2024.
The ED launched its investigation after learning about Tomar’s arrest in the U.S. through news reports.
In February, officers conducted coordinated raids across Delhi and Mumbai as part of their ongoing probe into the money trail.
“Further investigation is under progress,” the agency noted, suggesting additional seizures or arrests may follow as authorities continue tracking assets linked to the international fraud operation.
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