The central agency has been investigating an alleged bitcoin scam over the past few years amid allegations of illegal cryptocurrency transactions, hacking and financial irregularities.
Intensifying investigations following recent raids, Enforcement Directorate (ED) officials on Saturday arrested the prime accused in the Bitcoin scam case, Srikrishna alias Sriki, along with two others in Bengaluru.
ED has arrested Sriki, Robin Khandeval and Sunish Hegde in connection with the alleged cryptocurrency scam. The trio was produced before a special ED court and remanded for 10 days for further questioning.
The central agency has been investigating an alleged bitcoin scam over the past few years amid allegations of illegal cryptocurrency transactions, hacking attacks and financial irregularities.
As part of the ongoing investigation, ED officials recently conducted searches at several places associated with the accused and their associates.
The case had earlier created a major political controversy in Karnataka with allegations regarding the handling of the seized bitcoins and the possible involvement of influential people.
On April 20, the agency raided 12 locations, including premises allegedly associated with Sriki, sons of Shantinagar MLA NA Haris, Mohammed Haris Nalapad and Omar Farook Nalapad, and Mohammed Hakeeb Khan, grandson of former Union minister K Rehman Khan.
The case is related to a 2017 hacking incident involving national and international websites in which bitcoins were allegedly stolen by Sriki and his associates. Mohammed Haris and Omar Farook are said to be suspected recipients of the proceeds of crime. Investigators believe the bitcoins hacked from a Dubai-based crypto exchange were routed to the Nalapads, with the ED following a digital trail.
The ED also raided the residence of Mohammed Hakeeb Khan. Officials claimed there were suspicious money transfers through his bank accounts, prompting the searches. Transactions between Hakeeb Khan and Sriki are also under the scanner as part of a wider probe. The case was earlier investigated by the Central Crime Branch (CCB) and the Criminal Investigation Department (CID) before the ED took charge.
Published – 09 May 2026 20:42 IST
