India’s Enforcement Directorate has announced three more arrests in its investigation into an alleged $58 million crypto Ponzi scheme that authorities say deceived more than 248,000 investors. The latest detainees are Milan Garg, Sukhdev Thakur and Abhishek Sharma, while Subhash Sharma, described by investigators as the key figure behind the operation, remains untraced.
Scale of the alleged scheme
According to the ED, the operation attracted investors by promising unusually high returns through a cluster of purported crypto investment platforms. Investigators identified Korvio, DGT, Hypenext and A-Global among the platforms allegedly used in the scheme.
Authorities say the structure functioned as a Ponzi arrangement, with money from newer participants used to make payments to earlier investors. The ED said more than 248,000 people were defrauded and that transactions linked to the operation exceeded $219 million, even though the alleged scam itself was valued at about $58 million.
How the network allegedly operated
Investigators allege the scheme was kept alive through repeated launches of new digital assets and manipulation of token prices. The stated aim, according to the probe, was to maintain investor interest and keep funds moving through the network.
The ED has alleged that Subhash Sharma developed and controlled the platforms at the center of the case. He is also accused of managing wallets, directing the movement of investors from one platform to another, routing funds through the system, converting cash into cryptocurrency and supervising the broader operation.
Use of proceeds and concealment claims
The agency further claims that members of the group received substantial commissions from the activity. Investigators allege some proceeds were used to buy real estate.
The probe also includes allegations that digital evidence was deliberately erased. According to the ED, records and domain-related data were destroyed in an effort to hide the fraud and obstruct scrutiny of the platforms’ operations.
Wider enforcement backdrop
The case comes amid a broader push by Indian authorities against crypto-linked financial fraud. The article notes that agencies including the ED and the Central Bureau of Investigation have been pursuing Ponzi-style operations and other investment scams involving digital assets.
Recent enforcement efforts referenced in the report include cryptocurrency seizures tied to online investment frauds and the identification of thousands of mule bank accounts allegedly used to launder millions of dollars in stolen funds. The latest arrests suggest the investigation into this case is still expanding, with authorities continuing to pursue missing suspects and trace how investor money moved through the alleged network.
Source: Coin Edition