The Enforcement Directorate uncovered a Rs 400 crore fraud linked to the online gaming app, Fiewin, involving Chinese nationals. The app attracted users by offering them a chance to earn money through games.
According to the media reports, four Indians helping the Chinese nationals in this scheme were arrested by ED officials in Kolkata. New users could quickly create an account and participate in the app’s activities with the option to ‘top up’ their balance. Once the users’ account accumulated substantial funds the app stopped allowing them to withdraw the funds.
The ED found that about Rs 400 crore was misappropriated through this scheme, and was transferred to various cryptocurrency accounts. The ED discovered the fraud following a large number of complaints received by the police. The App has been banned following the discovery of the fraud.