Bitcoin Scam: Raj Kundra’s Properties Worth Almost Rs 100 Crore Seized

Raj Kundra, the husband of Bollywood actor Shilpa Shetty, is under investigation in a bitcoin ponzi scheme money laundering case. The properties under scrutiny include a residential flat in Juhu, currently registered in Shilpa Shetty’s name, a residential bungalow in Pune, and equity shares owned by Raj Kundra.

Both Kundra and Shetty have denied any involvement in the case. Their lawyer, Prashant Patil, stated that there is no prima facie case against his clients and expressed faith in a fair investigation by the Enforcement Directorate.

A Ponzi scheme is a fraudulent investment operation where investors are promised high returns with little or no risk, but the money is not actually invested. Instead, initial investors are paid with funds from new investors.

The Enforcement Directorate launched a probe based on multiple complaints filed by Maharashtra and Delhi Police against Variable Tech Private Limited and several individuals. They allege that the accused collected approximately Rs 6,600 Crore in Bitcoins in 2017 through deceitful promises of 10% monthly returns.

During the investigation, it was discovered that Raj Kundra had received 285 Bitcoins from Amit Bhardwaj, the mastermind behind the ‘Gain Bitcoin’ Ponzi scheme. These Bitcoins were intended for establishing a Bitcoin mining farm in Ukraine, but the deal did not materialize, leaving Kundra in possession of the Bitcoins, currently valued at more than Rs 150 Crore.

In 2021, Raj Kundra was arrested in a case involving the production and distribution of pornographic films using a subscriber-driven mobile app called ‘Hotshots,’ and he was later granted bail by the Supreme Court.