In a major action against a cryptocurrency investment scam, the Enforcement Directorate (ED), Nagpur, has seized and frozen assets worth several lakhs during searches conducted under the Prevention of Money Laundering Act (PMLA) against alleged crypto scamster Nishid Mahadevrao Wasnik. The operation led to the freezing of bank accounts, a secret cryptocurrency wallet containing digital assets worth ₹43 lakh, and the identification of benami properties valued at several crores.
According to the ED, Wasnik headed a group that fraudulently promoted and operated an unregistered and illegal online platform called Ether Trade Asia. The accused allegedly organised promotional seminars at star-rated hotels in Nagpur and other cities across Maharashtra, where the public was misled with false claims about lucrative investment schemes, resulting in large-scale cheating of unsuspecting investors.
The platform was projected as a high-return cryptocurrency investment opportunity, particularly through a digital token named Airium. Substantial funds were collected from the public under the banner of M/s Ether Trade Asia. However, instead of being invested legitimately, the money was allegedly diverted for personal use, causing heavy losses to investors while the accused made unlawful gains.
During the searches, the ED seized several incriminating documents, records and digital devices. Bank balances exceeding ₹20 lakh were frozen. In a significant find, a secret private cryptocurrency wallet holding digital assets worth about ₹43 lakh was traced and frozen. The agency also identified movable and immovable assets, including benami properties worth crores, allegedly acquired using money collected from the public.
The ED probe is based on a case earlier registered by the Maharashtra Police, which had filed charges against Nishid Wasnik and his associates under various sections of the Indian Penal Code, 1860.
Police investigations revealed that the accused had lured thousands of people by promising exceptionally high returns in a short period through cryptocurrency trading and investment schemes. The collected funds were later misused for personal gain.
The ED further stated that the money was used to purchase properties in the names of the accused, their family members and entities controlled by them. Public funds were also used to buy cryptocurrencies, which were concealed in private wallets to evade detection.
City police arrests in 2022
The case dates back to February 2022, when the Nagpur Crime Branch arrested several accused in the high-profile cryptocurrency scam involving around ₹40 crore. At the time, police claimed that nearly 2,000 investors had been cheated.
The alleged kingpin Nishid Wasnik, along with his wife and close associates, was arrested from Pune. During earlier raids, police seized cash, luxury cars, weapons, mobile phones and other valuables.
Investigations had shown that investors’ money was parked in residential plots, agricultural land and other properties in Nagpur, Chandrapur, Pune and parts of Madhya Pradesh.
The ED said further investigations are underway to trace additional proceeds of crime and identify more assets linked to the accused.
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