The Delhi High Court of India has denied bail to Umesh Verma, accused of running a major cryptocurrency scam linked to the Dubai-based Pluto Exchange. The court said such scams can harm the economy by turning legitimate money into “dark, untraceable” funds.
According to The Economic Times, Justice Girish Kathpalia dismissed the plea of Verma terming the allegations serious. Verma is charged with defrauding 61 investors by promising them 20-30 percent returns on their crypto investments per month.
In spite of the government de-recognition of cryptocurrency, Verma kept on receiving money from unsuspecting individuals, creating a false image of profits. Verma had been arrested in December 2020 and was out on interim bail. The court has now directed him to surrender immediately before the trial court or investigating officer.
The case was filed by Joginder Kumar, who invested $5,825 and later found out that dozens more had also lost money, with total losses nearing $58,230. The judge noted Verma’s history of similar crimes, 13 in total and labeled him a “serious flight risk.”
The court also criticized Verma for misusing the mediation process. Despite multiple settlement promises over two years, he failed to comply. It stressed the growing number of victims and the ongoing investigation.
The strong position of the High Court indicates the increased interest in cryptocurrency frauds in India and their influence on financial safety. The message is loud and clear, economic crimes that have far-reaching effects cannot be lightly treated.
Also Read: UK Court Sentences Two Fraudsters in $2M Crypto Investment Scam
