Cryptocurrency scam: Blockara Company swindles Rs 300 crore from 8000 investors

Promises of a daily return of Rs. 4,000 enticed many to invest, contributing to the ongoing fraudulent scheme.
Complainants
Complainants Photo | Express
Updated on
3 min read

AHMEDABAD: A massive scam has been uncovered in Rajkot City in Gujarat as the Blockara company is accused of duping over 8,000 individuals in the state.

The company swindled an estimated amount of Rs 300 crore allegedly promising high returns from cryptocurrency investments.

Authorities are now investigating the fraudulent operations, which have left many investors devastated, questioning the legitimacy of crypto ventures.

On January 18, Multani Mosin Rasidbhai, a victim of the Blockara company scam, filed an application at the Rajkot City Police Commissioner's Office.

The application reveals that 12 investors in Rajkot have collectively lost around Rs. 70 lakhs, lured by promises of a 1 per cent daily return on an investment of Rs. 4.25 lakhs, with a maturity payout of over Rs. 12 lakhs.

It is now alleged that 8,000 people across Gujarat have been duped out of Rs. 300 crores in this fraudulent scheme.

A complaint has also been lodged with the Surat Crime Branch against the company's managers, while discussions are underway with the Rajkot Police Commissioner to determine whether a separate case will be filed in Rajkot.

In the application submitted to the Police Commissioner, Firoz Dilawar Multani, the founder of Blockara Company from Ankleshwar, along with his associates Nitin Jagatyan, Amit Manubhai Multani from Limbdi, Azhruddin Satak Multani, the marketing head from Saurashtra, and Maqsud Syed, the Gujarat head, have been named as the main culprits.

The complaint also reveals that the accused organized a caste convention in Limbdi, where investors were lured into sinking Rs. 4.25 lakh into the launched cryptocurrency TABC.

Promises of a daily return of Rs. 4,000 enticed many to invest, contributing to the ongoing fraudulent scheme.

The accused in the Blockara scam promised investors that the value of the TABC cryptocurrency would soar to $300 in the future, with potential profits running into crores of rupees.

As a result, many investors from Rajkot poured lakhs of rupees into the scheme. In addition, they were assured that they could sell their crypto IDs for returns.

To further entrap victims, the fraudsters organised a meeting at a hotel, where a Zoom call was broadcast to multiple locations, including a hotel in Mumbai and to several five-star hotels.

This strategic move aimed to recruit even more unsuspecting investors.

According to Mosin Multani, the victim of this fraud, "I live near Kotharia Solvent and have been scammed of Rs. 13 lakh in the name of crypto. Along with 12 others, we've filed a petition for a total fraud of Rs. 70 lakh."

"Firoz Dilawar Multani and his partners lured us during a meeting in Limbdi. 30-35 thousand from Rajkot and 7-8 thousand from across Gujarat have fallen victim. After two years of false promises, we've presented our case to the Police Commissioner," he added.

DCP Jagdish Bangarwa addressed the situation, stating, "We have received a complaint from Multani Mohsin, who alleges that millions of rupees were defrauded by Blockara company under the false pretext of cryptocurrency investment."

He further explained, "The accused took money from the complainant, promising returns from cryptocurrency investments, but failed to deliver, as all associated companies were shut down and the perpetrators have gone into hiding."

Bangarwa also noted, "A formal complaint has been filed with the Surat Crime Branch against the company’s managers."

"Discussions are underway with senior officials to determine whether a separate case should be registered in Rajkot, after which appropriate actions will be taken," he added.

Related Stories

No stories found.

X
The New Indian Express
www.newindianexpress.com