The Delhi Police has lodged a cheating case against a cryptocurrency investment company, CoinDCX, after several users complained of alleged bank fraud on the firm’s mobile application, said officials Tuesday. Police said an inquiry is being conducted and a notice will soon be sent to the company to verify the allegations. The Indian Express reached out to the company with queries regarding the case but received no response. As per sources in the Cyber Cell, complainants across Delhi reported they were asked to pay more money when they tried to withdraw their crypto investments online. A police source said three to four complaints from November last year have been clubbed and the matter is being investigated. In one of the complaints, a 36-year-old businessman from North Delhi said he invested around Rs 1.40 lakh last year on the CoinDCX application. “I made payments from time to time and the total was close to Rs 1.2 lakh. I had some gains and wanted to withdraw the money but the app asked me to submit tax. When I called officials, I was told to pay Rs 40,000 more and get a refund later. I decided to not put more money,” claimed the complainant. Government rules state that additional tax (capital gains), which is close to 20-30%, is levied on withdrawals. This is varied for different platforms and the money withdrawn. However, rules do not mention “asking” for additional money for refund of old investments. In another complaint, a 24-year-old engineer from Chattarpur said he started using CoinDCX last month and invested close to Rs 14 lakh. “In total, I have transferred Rs 14,09,540 which I am unable to withdraw. They are now telling me it is a large amount and can be withdrawn after I submit the tax as per law. They want me to transfer another Rs 4.65 lakh from which they will deduct Rs 46,544 tax. They said they would refund Rs 4.18 lakh along with my complete amount. I see this as internet banking fraud,” alleged the complaint. The FIR states that an SHO-level officer conducted an inquiry and a “cognizable” offence has been made out. “Necessary permission regarding registration of the case has been granted by senior officers. A case under sections of cheating has been filed,” read the FIR. Police said senior officers are looking into the case and will talk to victims to see if “fraud” has been committed. An officer said, “We checked the rules online related to crypto investment and lodged a case. We are verifying allegations.,” said the officer.
Delhi Police lodge cheating FIR against crypto investment firm
