From Queen to Quagmire: Delhi’s Crypto Scam Unraveled

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In a twist of fate that could only unfold in the bustling chaos of Delhi, Indian police have cracked down on a work-from-home scam that turned out to be a sophisticated crypto-laundering operation. Five individuals, including a woman who earned the dubious title of Delhi’s ‘crypto queen,’ found themselves in handcuffs, much to the delight of law enforcement and the dismay of those who fell prey to their schemes. 🕵️‍♀️💰

  • Five schemers were nabbed in Delhi, accused of orchestrating a crypto-fueled con.
  • The so-called ‘Crypto Queen’ was reportedly the mastermind behind the unlicensed crypto operations, using international channels to stay one step ahead of the law.
  • Crypto scams are on the rise in India, a country still grappling with the absence of clear regulatory guidelines.

Local media reports paint a picture of a well-oiled machine, where the accused leveraged Telegram to dupe unsuspecting victims into performing fake online tasks. These tasks, shrouded in the promise of lucrative rewards, were nothing more than a front to siphon off hard-earned money into the murky world of unregulated cryptocurrencies. 😂💸

The sting of reality hit home when a 29-year-old woman from Delhi’s Burari area filed a complaint, revealing that she had been swindled out of over ₹17.29 lakh (about $20,000) while desperately seeking online job opportunities. Her story, a cautionary tale of digital deceit, exposed the intricate web of lies spun by the scammers. 💻🚨

How did the scam work?

The Delhi Police peeled back the layers of the scam, uncovering a methodical approach that began with the promise of high commissions for completing seemingly harmless digital tasks. Small initial payments served as bait, creating an illusion of legitimacy. But as the victim delved deeper, she was repeatedly coaxed into making larger transfers, lured by the mirage of even greater returns. 🎯💸

What she didn’t realize was that the fraudsters were not only draining her bank account but also using her identity to secure personal loans worth ₹8.8 lakh from unsuspecting banks. The stolen funds were then channeled through a labyrinth of “mule” bank accounts, eventually converted into USDT (Tether), a stablecoin tied to the U.S. dollar. 🤷‍♂️🏦

The group’s operations were facilitated by members communicating over encrypted platforms like Telegram and WhatsApp, using international numbers to dodge the long arm of the law. At the heart of this operation was Krish, a 19-year-old who orchestrated the fund transfers, sourcing bank account details and UPI IDs from his accomplices and passing them on to crypto buyers. The stolen funds were either withdrawn in cash or handed over for crypto conversion. 💸💻

Nidhi Agarwal, known within the group as the “Crypto Queen,” played a pivotal role in the laundering process. Without an official license, she bought and sold crypto through unregulated vendors, turning a tidy profit along the way. Using international numbers and online platforms, she managed to elude local oversight, at least until now. 👑🚫

Deepa and Gaurav, two other members of the group, were responsible for recruiting account holders willing to lend their bank accounts for transfers and assisting in the movement of physical cash. Their roles, though secondary, were crucial in keeping the scam afloat. 🤝🔍

Indian doctor loses over $115k to crypto scammers

In a separate but equally disheartening incident, a 56-year-old doctor from Kannammoola lost ₹1.01 crore (approximately $115,000) in a cryptocurrency romance scam. The con, which spanned from January to May this year, involved a woman posing as a fellow doctor who reached out via WhatsApp, boasting about her success in crypto trading. 📱💔

The victim, initially skeptical, was won over by the allure of attractive returns. As he invested more, the scam deepened, culminating in a demand for a 30% payment of the profit as U.S. income tax. When the doctor tried to withdraw his funds, he found himself empty-handed and out of pocket. 💸😢

No crypto regulations in India

These incidents have cast a harsh light on the lack of a comprehensive regulatory framework for cryptocurrencies in India. In a country where the digital landscape is rapidly evolving, the absence of clear guidelines has left a vacuum that criminals are all too eager to fill. 🚀🚫

Despite the Supreme Court’s 2020 ruling that overturned the Reserve Bank of India’s (RBI) earlier banking ban on crypto, little progress has been made in formulating a coherent set of rules. The RBI remains steadfast in its opposition to private cryptocurrencies, citing risks to monetary policy and financial stability. 🏦🚫

In the meantime, India’s tax authorities have stepped up their efforts to combat crypto-related tax evasion. The Income Tax Department has launched multiple campaigns, targeting those who try to hide their crypto gains. Under Section 115BBH of the Income Tax Act, crypto gains are taxed at a flat 30%, with an additional 1% TDS on transactions. While this has brought some transparency to the crypto market, the lack of licensing, monitoring, and consumer protections continues to fuel the activities of bad actors. 📊🔍

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2025-07-28 11:38