The Delhi Police on Tuesday (October 15, 2024), uncovered a sophisticated scam and seized over 100,000 USDT in cryptocurrency assets. Multiple individuals were also arrested for operating a fraudulent entity known as “M/s Goldcoat Solar.”

Tether (USDT) is a stablecoin whose value is pegged to the US Dollar, and is one of the biggest cryptocurrencies by market capitalisation.

The perpetrators falsely claimed to have secured rights from the Government of India, Ministry of Power, to contribute to India’s plan of expanding solar power capacity to 450 gigawatts (GW) by 2030, all under the guise of supporting the country’s renewable energy efforts.

The elaborate scheme deceived numerous individuals into believing they could invest in the national energy plan and earn substantial returns.

The scam reportedly gained traction through social media platforms where fraudsters promoted “M/s Goldcoat Solar” as a legitimate investment opportunity.

The fraudsters further impersonated high-level government officials, and even used the names of high dignitaries, to falsely endorse the scheme. Victims were shown fabricated proofs of earnings, allegedly from earlier investors, to legitimize the scheme and build trust.

The fraudsters allegedly funneled money deposited by victims through banks, with a portion of the funds being converted into cryptocurrency.

The law enforcement agency with assistance from Binance was able to trace the money and track down the perpetrators.

“Binance has been conducting sharing sessions with global law enforcement agencies, and this case highlights the positive outcomes of these collaborations”, Jarek Jakubcek, Head of Law Enforcement Training at Binance, said.