Chandrahar SR, a former CCB inspector in India, was arrested for allegedly stealing $216,000 in Bitcoin. The arrest was part of an investigation into a 2020 cryptocurrency scam that involved hacking significant exchanges.
The Special Investigation Team (SIT) arrested Chandrahar at his North Bengaluru home after he had been avoiding capture. His anticipatory bail had previously been rejected. Chandrahar is accused of illegally accessing a Bitcoin wallet belonging to a hacker, which was part of the evidence in the ongoing investigation.
Srikrishna Ramesh, identified as the hacker and associate Robin Khandelwal, reportedly hacked exchanges like Bitfinex and Unocoin, netting around INR 5.5 crore ($660,000). Ramesh attempted to launder the proceeds through Bitcoin transactions facilitated by Khandelwal before their arrest in 2020.
According to the FIR filed by the SIT, Chandrahar, with two other CCB officers and a private cyber expert, Santosh Kumar, forced Khandelwal to transfer the stolen funds and then destroyed all evidence transactions took place in Kumar’s office between December 30, 2020, and January 6, 2021.
Chandrahar, Kumar, and two other officers are charged with illegal confinement, breach of trust, and destroying evidence. This case highlights the ongoing challenges and regulatory scrutiny facing India’s cryptocurrency sector amidst rising scam incidents.
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