Updated: January 11, 2022 7:23:44 am
ENDORCEMENT DIRECTORATE (ED) has attached assets worth Rs 36.72 crore of K Nishad, the main accused in the fake Morris Coin crypto currency case. The agency had found that shell companies floated by Nishad and his associates had siphoned off Rs 1,200 crore from 900-odd investors in various states, mainly in Kerala, under the pretext of initial coin offering (ICO) of the non-existent cryptocurrency.
ED sources said the attached assets include deposits in multiple bank accounts, immovable properties, including land of Nishad, the managing director of Bengaluru-based Long Rich Technologies and a few related shell companies.
Earlier, police in Kannur had registered multiple cheating cases, but Nishad left the country after obtaining anticipatory bail in these cases.
ED sources said their probe into money laundering has so far revealed that Nishad, a native of Malappuram, through his various companies such as Long Rich Global, Long Rich Technologies and Morris Trading Solutions, collected deposit money from the investors in the guise of ICO for the launch of Morris Coin Crypto Currency.
“By conducting promotional events in the presence of celebrities, introducing the investors to flashy websites and by provision of e-wallets to each investor via web-based applications, the amount was collected from the investors and siphoned via various companies operated by him and his associates,” a source said.
The deposits were taken from the general public without any statutory permission from any regulatory agencies. Investors were duped with the promise that the crypto currencies would be traded in international and Indian exchanges and promised higher returns to the investor on a daily basis. The money obtained from the public was used for the purchase of immovable properties, various other crypto currencies, luxury cars and spending in luxury hotels and resorts.
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