A collaboration between law enforcement in India and the United States has led to the discovery of a cryptocurrency network worth $360 million.
The United States Federal Bureau of Investigation and India's Enforcement Directorate (ED) have partnered for a search operation in the Indian state of Uttarakhand in August 2023. The Indian Law Enforcement Directorate made the arrests after a tip-off from the FBI.
Two suspects flagged by U.S. authorities were already involved in drug trafficking and had ties to a major international drug trafficking operation. The April 27 raid resulted in the recovery of digital currency worth more than $300 million.
The role of crypto in the Indian drug ring scam
Two men, Parvinder Singh and Banmeet Singh from Haldwani, Uttarakhand, allegedly used common usernames on dark web marketplaces such as Silk Road 1, AlphaBay and Hansa.
Those involved in the sale of illicit drugs have allegedly used freely available online advertisements and dark web vendor marketplaces to expand their operations. This led to an organized system of distributors and sales channels, where cryptocurrency was used to pay for drugs and launder profits.
India is an emerging cryptocurrency market where government regulation is still catching up. The investigation in Uttarakhand is just one of many examples of crypto-focused organized crime prevalent in the vast Asian country.
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