CID says Bitcoin investment scam in Gujarat could be worth Rs 500 cr

Ahmedabad: Investors in Gujarat may have lost over Rs 500 crore in an alleged fraudulent scheme floated by the promoters of BitConnect, a cryptocurrency platform which shut down earlier this year, police on Tuesday said.

Director General, Criminal Investigation Department (CID) Ashish Bhatia said that many of the victims were yet to come forward.

"We have received only one complaint of Rs 1.14 crore at present. Many victims told us they want to lodge complaint but they have not come forward. They might be having the fear of Income Tax department (questioning the source of money). So we do not have the exact figure," Bhatia said.

"Many from Gujarat, mostly from Surat, had invested in the scheme. If we add up the money extorted by Shailesh Bhatt, the figure may come to over Rs 500 crore," he said. BitConnect promoters had issued a cryptocurrency token, "BCC", and floated a global trading and lending platform for investors in 2016.

Cryptocurrencies like 'Bitcoin' are digital currencies which are not authorised or regulated by any central bank including the RBI.