Delhi Police Raids A Cryptocurrency Mining Unit In Dehradun

Delhi Police Raids A Cryptocurrency Mining Unit In Dehradun


Owners Of The Mining Complex Kamal Singh and Vijay Kumar Were Allegedly Running Ponzi Schemes Similar To That Of Amit Bhardwaj

Following the arrest of Amit Bhardwaj, the Indian police has now become more proactive, unearthing more cryptocurrency-based Ponzi schemes.

The Delhi police Cyber Cell has now raided a 4,000 sq ft complex dedicated to Ethereum mining in Dehradun and has captured 100 Ethereum rigs with high-powered computer processors, 500 graphics cards and servers.

Speaking to Inc42, KPS Malhotra, Additional DCP, Cyber Cell-Delhi Police who is handling the entire case said, “This case is separate from Amit Bhardwaj’s. We had already arrested the owners of the mining firm Kamal Singh and Vijay Kumar, 13 days ago. And, based on the further intel, we have now raided their mining firm in Dehradun.”

Kamal and Vijay were running cryptocurrency-based MLM schemes, similar to that of Amit Bhardwaj. “They were running websites like and,” he added.

The websites are now defunct.

On charge sheet and the amount involvement in the cheating scam, KPS stated that while the charge sheet will be filed within next 40 days, the amount cheated by the founders stands less than $15 Mn (INR 100 Cr), as they also made some payouts in the process.

The police nabbed the founders after one co-founder Vijay Kumar registered a police complaint against the third co-founder SS Alagh.

The Scam: Online Petition Against Bits2btc

A month ago, Rupam Bhatia also started an online petition on against bits2btc and its co-founders.

Addressing the petition to Delhi Police Commissioner and Cyber Cell Commissioner, Rupam unfolded his side of the story, “I met Kamal Singh through a close friend in July 2017, at his office – Habitec Technologies, 306, Ansal chambers-2, Bikaji Kama Place, New Delhi. We had a conversation for about half an hour, in which he explained a little bit about his bitcoin mining farms in Belfast and how he is creating more bitcoins. He also talked about his personal life, that he is a very spiritual person and he is very much into meditations and all, so I got a little bit attracted and swayed away while investing.”

Further, Rupam in his petition added that the founders claimed to have big properties and townships worth $30 Mn (INR 200 Cr) near Delhi. The founders even showed him some online documents. On July 31, 2017, Rupam invested some 0.1 Bitcoin, an investment contract for 18 months and the founders were supposed to payout 12% every month.

Later the founders of bits2btc asked Rupam to invite more people to him so that they can also invest in bits2btc and earn 12% return every month for 18 months. It has been almost nine months since then and the founders of bits2btc have not paid any payouts or return on investment.

As narrated by Rupam, the design of the cryptocurrency-based MLM scheme is similar to the alleged Bitcoin scam of Amit Bhardwaj.

You have reached your limit of free stories
Become An Inc42 Plus Member

Become a Startup Insider in 2024 with Inc42 Plus. Join our exclusive community of 10,000+ founders, investors & operators and stay ahead in India’s startup & business economy.

Unlock 60% OFF
Cancel Anytime
Unlock 50% OFF
Cancel Anytime
Already A Member?
Discover Startups & Business Models

Unleash your potential by exploring unlimited articles, trackers, and playbooks. Identify the hottest startup deals, supercharge your innovation projects, and stay updated with expert curation.

Delhi Police Raids A Cryptocurrency Mining Unit In Dehradun-Inc42 Media
How-To’s on Starting & Scaling Up

Empower yourself with comprehensive playbooks, expert analysis, and invaluable insights. Learn to validate ideas, acquire customers, secure funding, and navigate the journey to startup success.

Delhi Police Raids A Cryptocurrency Mining Unit In Dehradun-Inc42 Media
Identify Trends & New Markets

Access 75+ in-depth reports on frontier industries. Gain exclusive market intelligence, understand market landscapes, and decode emerging trends to make informed decisions.

Delhi Police Raids A Cryptocurrency Mining Unit In Dehradun-Inc42 Media
Track & Decode the Investment Landscape

Stay ahead with startup and funding trackers. Analyse investment strategies, profile successful investors, and keep track of upcoming funds, accelerators, and more.

Delhi Police Raids A Cryptocurrency Mining Unit In Dehradun-Inc42 Media
Delhi Police Raids A Cryptocurrency Mining Unit In Dehradun-Inc42 Media
You’re in Good company