Amaravati, November 5, 2026: The Andhra Pradesh Crime Investigation Department (CID) has uncovered an international cryptocurrency investment fraud worth approximately ₹15 crore, involving digital transactions across at least five countries on three continents. Investigators traced the allegedly stolen funds through multiple cryptocurrency wallets and overseas exchanges, leading to arrests and a court order for the return of identified assets to a woman from Tenali.
₹15 Crore Cryptocurrency Scam Uncovered
The case began after a woman from Tenali in Andhra Pradesh’s Guntur district complained that she had been cheated through an online cryptocurrency investment scheme.
According to the CID, the victim was persuaded to invest money after being promised unusually high returns.
Believing the investment opportunity was genuine, she transferred funds through several digital wallets and online platforms.
Investigators estimated the total amount involved at approximately $1.5 million, reported as nearly ₹15 crore.
Fraud Network Operated Across Three Continents
The CID investigation revealed a network with suspected links across India, China, Malaysia, Portugal and the Cayman Islands.
Police believe the accused used international cryptocurrency platforms and multiple transactions to conceal the movement of money.
The alleged fraud involved individuals operating across Asia and Europe, while cryptocurrency assets were traced to an exchange registered in the Caribbean.
The international nature of the case made the investigation particularly complex.
Victim Transferred Funds Through 13 Crypto Wallets
Investigators discovered that the victim initially transferred money from her bank accounts into 13 non-custodial cryptocurrency wallets.
These included one wallet linked to Robinhood and 12 on-chain wallets.
Acting on instructions allegedly provided by the accused, she then transferred cryptocurrency to two investment platforms identified as Honeycombapi.org and Alibarbit.bit.
The platforms were allegedly used to create the appearance of legitimate investment opportunities.
27 Cryptocurrency Transactions Traced
The CID identified 27 cryptocurrency transactions involving Bitcoin, Solana and Dogecoin, collectively valued at approximately $1.5 million.
Investigators said the funds were transferred through multiple intermediary wallets and mule accounts.
This process, known as transaction layering, can make it difficult to identify the original source and eventual destination of financial assets.
The money was eventually traced to Gate Global Corporation, a cryptocurrency exchange based in the Cayman Islands.
CID Freezes Assets Linked to Four Accounts
Using blockchain transaction analysis, investigators traced 15 Bitcoin transactions to four accounts on the Gate.io cryptocurrency exchange.
The CID said the identified accounts were linked to the alleged fraud network.
Authorities subsequently secured judicial orders freezing the cryptocurrency assets associated with those accounts.
The investigation involved technical analysis of blockchain transactions and coordination with international platforms.
Four Accused Arrested in India
According to The Indian Express, the CID arrested four individuals in India, including two from Hyderabad and two from Maharashtra.
Investigators also identified four suspected associates believed to be based overseas.
These included one person in Malaysia, two in China and one in Portugal.
Some other reports described all eight accused as arrested. However, the available reporting differs on whether the four overseas suspects were actually taken into custody.
The CID has filed a chargesheet in connection with the alleged fraud.
Indian Cyber Crime Coordination Centre Assists Probe
The investigation was supported by the Indian Cyber Crime Coordination Centre (I4C) under the Union Ministry of Home Affairs.
The agency provided technical assistance and helped coordinate efforts to trace cryptocurrency transactions across international platforms.
CID Director General Ravi Shankar Ayyanar said investigators used blockchain analysis and international cooperation to identify the movement of the allegedly defrauded assets.
Guntur Court Orders Return of Cryptocurrency Assets
In a significant development, the Sixth Additional Junior Civil Judge-cum-Special Court for CID Cases in Guntur issued an order on October 30, 2026, concerning the recovery of identified cryptocurrency assets.
The court directed Gate Global Corporation to convert the cryptocurrency held in four identified accounts into USDT, a stablecoin designed to maintain a value close to the US dollar.
The converted assets are to be transferred to the victim’s designated cryptocurrency wallet.
The order represents an important step towards recovery, although the available reports do not confirm that the transfer has already been completed.
CID Announces Reward for Investigation Team
The Andhra Pradesh CID announced a ₹10,000 reward for members of the investigation team involved in tracing and securing the cryptocurrency assets.
The recognised personnel included Inspector Dasari Kasi Viswanadh, Head Constable B Venkateswara Rao and T Vijay Krishna.
The CID highlighted the importance of technical expertise in investigating financial crimes involving digital currencies.
Police Warn Against High-Return Crypto Schemes
Following the investigation, authorities urged the public to remain cautious about cryptocurrency investment schemes promising guaranteed or unusually high profits.
Investors have been advised to verify the legitimacy of trading platforms before transferring money.
The CID also encouraged victims of online financial fraud to report incidents promptly through the national cybercrime helpline 1930 or the official cybercrime reporting portal.
Case Highlights Growing Cross-Border Cybercrime Threat
The ₹15 crore case illustrates how cryptocurrency investment fraud can involve multiple countries, digital wallets and international exchanges.
It also demonstrates the role of blockchain analysis, judicial intervention and cross-border cooperation in tracing suspected proceeds of cybercrime.
The investigation remains an important development in Andhra Pradesh’s efforts to tackle complex digital financial fraud.
Source: The Indian Express, The New Indian Express, Deccan Chronicle, Andhra Pradesh CID
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