India’s ED Uncovers 437 New Faces in ₹2,200 Cr Crypto Scam With China Links!

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India’s ED Widens ₹2,200 Cr HPZ Scam Probe, Uncovers Cross-Border Links

Key Highlights

  • The latest filing adds 87 new accused, taking the total to 437 individuals.
  • The scheme operated via a mobile app promising returns from Bitcoin mining investments.
  • Funds were allegedly routed through layered networks involving fintech and e-commerce entities.

The Enforcement Directorate (ED) in Dimapur has filed additional charges in the ₹2,200 crore (approximately $26.4 million USD) HPZ Token cryptocurrency scam. This is the second time they’ve added to the charges against those involved.

The money laundering case was opened following initial police reports filed in Kohima, Nagaland; Ulubari, Guwahati, Assam; and Delhi by the CBI.

The investigation centers on a large-scale fraud impacting thousands of investors in India. They were reportedly tricked into investing in Bitcoin mining machines with false promises of significant returns.

The HPZ token scam

The HPZ Token was a cryptocurrency investment app that launched in June 2021. It reportedly shut down just two months later, in August 2021, and investors lost access to their money.

Investigators say Bhupesh Arora and his associates were involved in a fraud that used a complex system to hide money. This system included fake companies, accounts controlled by others, informal money transfer networks, and currency exchange services to clean the money gained from the scheme.

After adding 87 new individuals, there are now a total of 437 people accused in the latest prosecution case.

Connections across China and India 

The investigation revealed that money obtained through criminal activity was channeled through companies like Shigoo Technology and Lillian Technocab. This money was then sent to questionable businesses including Digi India Marketing, Analytix Business Ventures, Freebie Solutions, Truvinta Solutions, Zavion Trading, and Sark Enroll System. These companies are reportedly connected to Bhupesh Arora and associates.

The investigation revealed that groups linked to China were used to move and hide money. Investigators found these groups were connected through shared addresses, email accounts, and leaders, suggesting they were working together.

Zhudao Infotech Private Limited is said to be run by General Manager Ming Lou and Director Jian Li.

As part of my investigation, I’ve identified several individuals with ties to China who are also under scrutiny. These include Linlei Yuan of Magic Data Technology, Zhou Jie from Larting Pvt. Ltd., Wan Jun of Jilian Consultants, as well as Ming Lou, Jian Li of Zhudao Infotech, Yanpeng Qu from Mad-Elephant Network Technology, Yi Liu of Omelette Technology, and Kevin Huang of Adexter Concepts. I’m continuing to analyze their connections to the broader situation.

Role of payment firms

The Enforcement Directorate claims that several Indian companies – including Paygate India, Safexpay Technology, Virtuous Payment Solutions, Intrapay Product Solutions, and IECS Consultancy – helped launder money.

Investigators found that key people—including Ravi Shankar Gupta, Aditya Oberoi, Pankaj Tripathi, and Joy Oberoi—used payment systems and fake companies to move money around.

Freezing assets 

According to investigators, these groups helped disguise illegally obtained funds by moving them through a complex system involving fintech companies, payment processors, online stores, video game businesses, and cryptocurrency. This made it difficult to trace the money’s origins.

So far, the Enforcement Directorate has seized or frozen assets worth many crores as part of this investigation.

Growing risks 

The HPZ Token scam is a stark reminder of the growing dangers of investment schemes that use the hype around cryptocurrency to lure people in with the promise of quick profits.

Officials have warned people to be careful of these unofficial programs, as they could be large scams involving international connections. This new legal document adds to previous discoveries and widens the investigation to include a larger network of money laundering.

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2026-04-30 23:33