Binance revealed collaborating with the Delhi Police to take down a “sophisticated scam” orchestrated by a fraudulent entity known as “M/s Goldcoat Solar.”
According to the press release shared with CryptoPotato, the crackdown resulted in several arrests and the confiscation of more than 100,000 USDT in crypto assets.
Solar Scam Busted
As part of the investigation, the Delhi Police uncovered that the syndicate had been using numerous SIM cards, fraudulently activated with the identities of innocent people. These fake SIM cards were distributed on a large scale, with some even sent abroad to facilitate scams.
Meanwhile, the funds deposited by victims were laundered through various bank accounts. A portion of these funds were also being converted to cryptocurrency, making the investigation more difficult.
The exchange was contacted by the Delhi Police during a “sharing session” in the country, and through virtual meetings, wherein the former provided crucial analytical support that ultimately helped in tracing the money trail and nabbing the perpetrators.
Commenting on the development, Binance’s Head of Law Enforcement Training, Jarek Jakubcek, said,
“Binance has been conducting sharing sessions with global law enforcement agencies, and this case highlights the positive outcomes of these collaborations. By connecting with law enforcement agencies, we can provide timely and crucial support in financial investigations and we will continue to do so to help combat financial crimes.”
Binance FIU Assists India’s ED
Interestingly, this isn’t the first instance of collaboration between public and private entities in the country. Binance had recently assisted Indian authorities in shutting down a fraudulent online gaming app that swindled users out of over $47.6 million.
According to a report by CryptoPotato, the Binance Financial Intelligence Unit (FIU) played a key role last month by helping India’s Enforcement Directorate (ED) trace the funds stolen by the operators of the Fiewin app and exposing the broader network behind the scheme. As a result, four major players involved in facilitating the scam and cooperating with the Fiewin app’s operators were arrested.
