Key Takeaways
- • ED arrests Masoom Juneja under PMLA in connection with a Rs 500 crore cryptocurrency fraud affecting 248,000 investors across multiple Indian states, marking a significant enforcement action against cryptocurrency-based MLM schemes.
- • Multi-level marketing cryptocurrency scheme operated since 2018 through platforms korvio.io and voscrow.com, initially running on Indian servers before shifting overseas to evade detection and regulatory oversight.
- • Classic Ponzi structure confirmed: The operation collected funds from new investors to pay returns to earlier participants, manipulated token values ("Korvio Coin" or KRO), and introduced successive tokens to sustain the fraud and maintain investor confidence.
- • Evidence destruction and recovery: Investigators recovered digital devices and incriminating documents despite deliberate deletion of digital records and internet domains; recovered data confirmed the scale of investor victimization across the scheme.
- • Multi-jurisdictional operation: ED registered the money laundering case based on FIRs filed in Himachal Pradesh and Punjab, with alleged mastermind Subhash Sharma and co-conspirators (Hem Raj, Sukhdev Thakur, Abhishek Sharma, Radhika Sharma) charged with orchestrating the fraud through flashy promotional seminars and unrealistic return promises.
Summary
The Enforcement Directorate (ED) conducted coordinated raids on June 15, 2026, and arrested Masoom Juneja in connection with an alleged Rs 500 crore cryptocurrency fraud that defrauded 248,000 investors nationwide. The arrest, made under the Prevention of Money Laundering Act (PMLA), represents a significant escalation in regulatory action against cryptocurrency-based multi-level marketing (MLM) schemes operating within India's financial system.
The fraudulent operation, allegedly masterminded by Subhash Sharma and five co-conspirators (Hem Raj, Sukhdev Thakur, Abhishek Sharma, and Radhika Sharma), was established in 2018 and operated through online platforms offering a cryptocurrency token called "Korvio Coin" (KRO). The scheme initially functioned on Indian servers before migrating to overseas domains including korvio.io and voscrow.com to evade regulatory detection. The operation employed classic MLM tactics, including flashy promotional events, seminars, and promises of assured returns to attract capital on a massive scale across multiple states.
The scheme operated as a textbook Ponzi structure: newly collected investor funds were used to pay purported returns to earlier participants, while token values were deliberately manipulated to sustain investor confidence. To perpetuate the fraud, the accused repeatedly introduced new tokens paired with unrealistic profit promises. During searches, ED investigators recovered digital devices and incriminating documents that revealed the full scope of the operation, despite deliberate attempts by the accused to delete evidence and destroy internet domain records.
The ED's money laundering investigation was initiated based on First Information Reports (FIRs) filed by state police in Himachal Pradesh and Punjab. The recovered digital data confirmed participation by more than 248,000 investors across multiple jurisdictions, establishing both the scale of the fraud and the interstate nature of the criminal conspiracy. This case underscores the vulnerability of retail investors to cryptocurrency-based fraudulent schemes and highlights the need for enhanced regulatory scrutiny of unregistered token offerings and MLM-structured cryptocurrency platforms.
The fraudulent operation, allegedly masterminded by Subhash Sharma and five co-conspirators (Hem Raj, Sukhdev Thakur, Abhishek Sharma, and Radhika Sharma), was established in 2018 and operated through online platforms offering a cryptocurrency token called "Korvio Coin" (KRO). The scheme initially functioned on Indian servers before migrating to overseas domains including korvio.io and voscrow.com to evade regulatory detection. The operation employed classic MLM tactics, including flashy promotional events, seminars, and promises of assured returns to attract capital on a massive scale across multiple states.
The scheme operated as a textbook Ponzi structure: newly collected investor funds were used to pay purported returns to earlier participants, while token values were deliberately manipulated to sustain investor confidence. To perpetuate the fraud, the accused repeatedly introduced new tokens paired with unrealistic profit promises. During searches, ED investigators recovered digital devices and incriminating documents that revealed the full scope of the operation, despite deliberate attempts by the accused to delete evidence and destroy internet domain records.
The ED's money laundering investigation was initiated based on First Information Reports (FIRs) filed by state police in Himachal Pradesh and Punjab. The recovered digital data confirmed participation by more than 248,000 investors across multiple jurisdictions, establishing both the scale of the fraud and the interstate nature of the criminal conspiracy. This case underscores the vulnerability of retail investors to cryptocurrency-based fraudulent schemes and highlights the need for enhanced regulatory scrutiny of unregistered token offerings and MLM-structured cryptocurrency platforms.
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