An Indian anti-corruption court has convicted 14 individuals, including 11 police officers and a former member of the Bharatiya Janata Party (BJP) of the Legislative Assembly (MLA), for their involvement in a Bitcoin extortion case in Surat in 2018. The convicted individuals, which include former Amreli district superintendent of police Jagdish Patel and ex-MLA Nalin Kotadiya, were found guilty of kidnapping, extortion, and assault.
Background of the Case
The case revolves around businessman Shailesh Bhat, who had invested in Bitconnect, a cryptocurrency company that shut down in 2018, resulting in a loss of $900 million. Bhat claimed to have recovered some of his lost investments in the form of Bitcoin (BTC) from Bitconnect developer Dhaval Mavani. However, when Kotadiya and other police officers in Amreli learned about Bhat’s recovery, they allegedly conspired to confiscate the cryptocurrency.
On February 11, 2018, Bhat was kidnapped and illegally detained on the Keshav Farm near Gandhinagar. The kidnapping was led by Amreli Local Crime Branch Inspector Anant Patel, who, along with several other officials, forced Bhat to admit that he had received 752 Bitcoin from Mavani and had kept 176 of them with his employee Kirit Paladiya. Bhat was only released after he agreed to transfer part of the Bitcoin and $3.6 million in cash.
Investigation and Trial
Bhat later filed a complaint with the Union Ministry of Home Affairs, leading to a criminal investigation and the arrest of 15 individuals. The public prosecutor, led by special prosecutor Amit Patel, presented 173 witnesses during the trial. The court also ordered the recovery of gold ornaments seized by Amreli SP Patel, which will be transferred to the Mint Master in Mumbai.
The conviction of the 14 individuals, including 11 police officers, highlights the need for increased scrutiny and accountability within the Indian law enforcement system. The case also underscores the risks associated with cryptocurrency investments and the importance of robust regulations to prevent such incidents.
Global Efforts to Combat Crypto-Related Crimes
Last week, Thai authorities arrested a South Korean man accused of helping a cryptocurrency call center gang launder over $50 million. The incident highlights the global nature of crypto-related crimes and the need for international cooperation to combat such activities.
For more information on the Indian court’s verdict and the broader implications of the case, please visit https://cointelegraph.com/news/indian-court-sentences-14-bitcoin-extortion-case?utm_source=rss_feed&utm_medium=rss_tag_regulation&utm_campaign=rss_partner_inbound
