Key Takeaways
- • The Enforcement Directorate (ED) arrested Imran Basha and Hitesh Kumar on September 3, 2026, in connection with a ₹40-crore cryptocurrency fraud scheme involving the platform HashPe, with both individuals remanded to five days of ED custody under Section 19 of the Prevention of Money Laundering Act (PMLA), 2002.
- • ED raids targeted 11 premises across Tamil Nadu as part of the investigation into HashPe, a fraudulent investment scheme that allegedly lured investors through false cryptocurrency trading platform claims and facilitated extensive money laundering operations.
- • Imran Basha and Syed Usman (also known as Babu) are identified as the primary orchestrators who floated the fraudulent scheme, with associates operating the deceptive investment operation that extracted substantial funds from victims.
- • The scheme represents a significant case of investor deception in India's cryptocurrency sector, combining investment fraud with organized money laundering activities under the guise of legitimate crypto trading operations.
- • Puducherry Cyber Crime Special Cell also engaged in the investigation, apprehending Imran Basha as the alleged mastermind of what some reports reference as a ₹100-crore fraud—indicating potential scope expansion beyond the initially disclosed ₹40-crore figure.
Summary
The Enforcement Directorate conducted coordinated raids across 11 premises in Tamil Nadu on September 3, 2026, resulting in the arrest of Imran Basha and Hitesh Kumar in connection with a ₹40-crore cryptocurrency fraud and money laundering scheme. Both individuals were arrested under Section 19 of the Prevention of Money Laundering Act, 2002, and subsequently remanded to five days of ED custody following their production before the Special Court (PMLA).
The scheme, operating under the name HashPe, was allegedly floated by Imran Basha and Syed Usman (also known as Babu) as a fraudulent investment platform. The operation lured investors through false representations of cryptocurrency trading capabilities while simultaneously facilitating money laundering activities. The coordinated nature of the raids and multiple arrests suggest an organized network of associates operating the deceptive scheme across multiple locations within Tamil Nadu.
The investigation's scope appears broader than initially disclosed in the primary complaint, with some reporting indicating potential involvement in a ₹100-crore fraud scheme. The Puducherry Cyber Crime Special Cell's parallel engagement in apprehending Imran Basha as the alleged mastermind suggests the fraudulent operations may have extended beyond Tamil Nadu's borders and potentially involved additional criminal networks.
This case reflects emerging enforcement challenges in India's cryptocurrency sector, where regulatory bodies are increasingly targeting organized schemes that combine investment fraud with money laundering infrastructure. The multi-jurisdictional coordination between ED and regional cyber crime units indicates heightened institutional focus on cryptocurrency-related financial crimes and the sophisticated mechanisms used to disguise illicit fund flows through digital asset platforms.
The scheme, operating under the name HashPe, was allegedly floated by Imran Basha and Syed Usman (also known as Babu) as a fraudulent investment platform. The operation lured investors through false representations of cryptocurrency trading capabilities while simultaneously facilitating money laundering activities. The coordinated nature of the raids and multiple arrests suggest an organized network of associates operating the deceptive scheme across multiple locations within Tamil Nadu.
The investigation's scope appears broader than initially disclosed in the primary complaint, with some reporting indicating potential involvement in a ₹100-crore fraud scheme. The Puducherry Cyber Crime Special Cell's parallel engagement in apprehending Imran Basha as the alleged mastermind suggests the fraudulent operations may have extended beyond Tamil Nadu's borders and potentially involved additional criminal networks.
This case reflects emerging enforcement challenges in India's cryptocurrency sector, where regulatory bodies are increasingly targeting organized schemes that combine investment fraud with money laundering infrastructure. The multi-jurisdictional coordination between ED and regional cyber crime units indicates heightened institutional focus on cryptocurrency-related financial crimes and the sophisticated mechanisms used to disguise illicit fund flows through digital asset platforms.
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