Crypto Mining Scam: Be careful! Don't fall into the trap of apps like ShareHash, money can fly away from crypto mining

Crypto Mining Scam: Be careful! Don't fall into the trap of apps like ShareHash, money can fly away from crypto mining

Last Updated Jul - 25 - 2025, 11:49 AM | Source : Fela News

ED on Crypto Mining Scam: Investigation revealed that the money received in the bank accounts of the companies was sent to other fake companies through payment

The Bengaluru office of the Enforcement Directorate (ED) has taken action in a major online investment fraud. ED has attached an amount of Rs 7.02 crore, which was deposited in 29 different bank accounts. These accounts were opened in the name of fake companies and the entire scam was done through a mobile app named ShareHash.

How the Fraud Happened:
The ShareHash app lured people with the promise of high profits through cryptocurrency mining. People invested in the app and initially received small returns, which helped build their trust. It was a classic Ponzi scam, where some returns are given at the beginning, but eventually, all the money is lost. As more people joined and crores of rupees were collected, the app was suddenly removed from the Google Play Store, and the company stopped responding.

Scam Operated Through Fake Companies:
ED’s investigation revealed that the scam was executed through several fake companies. These included Cotata Technology Pvt. Ltd, Siraleen Tech Solutions Pvt. Ltd, Crampington Technology Pvt. Ltd, Nileen Infotech Pvt. Ltd, and Moltres Exim Pvt. Ltd. These companies were fraudulently registered during the COVID-19 period using fake KYC documents under the names of unemployed youth. Their registered addresses were either incorrect or found to be non-functional.

Attempt to Hide the Money Trail:
The investigation also revealed that the funds received in these companies' bank accounts were transferred to other fake companies through payment gateways. From there, the money was either withdrawn in cash or used to purchase gold. Over 40 bank accounts were used in the entire scam to make it difficult to trace the flow of funds.

ED’s Investigation Ongoing:
Most of the company owners and directors either did not respond to the ED’s summons or denied any involvement. The ED launched this investigation based on an FIR filed by the Bengaluru Cyber Crime Police and is currently conducting an in-depth probe into the entire network.

Share :