Key Highlights
- CBI files charge sheet against 30 accused in the ₹1,000-crore HPZ Token crypto investment scam.
- Two Chinese nationals allegedly masterminded the network using shell companies.
- Funds were rapidly moved through payment aggregators and converted to cryptocurrency before being sent abroad.
In a major development in the HPZ Token fraud case, the Central Bureau of Investigation (CBI) has filed a charge sheet against 30 people, including two Chinese nationals, for running what investigators describe as one of the most organized cybercrime operations uncovered in recent years.
The syndicate allegedly used a fake mobile application to lure thousands of Indians during the COVID-19 lockdown with promises of high returns from crypto-linked investments.
How the HPZ app drew money in just months
The app, called HPZ Tokens, claimed that users’ money would be put into cryptocurrency mining and that investors would receive unusually high returns in quick cycles. The promise worked. Within a short three-month window, the platform pulled in hundreds of crores from individuals across the country who were already financially stressed during the pandemic.
None of the money ever went into any form of mining, the CBI confirmed. Instead, investigators found that the funds were funnelled through a chain of shell companies created solely to collect the deposits and move them out of reach.
Chinese nationals at the core of the operation
Two Chinese nationals, Wan Jun and Li Anming, have been named among the accused. According to the charge sheet, both were instrumental in designing and directing the operation from overseas, using local associates in India to execute the scheme on the ground.
According to investigators, Wan Jun headed Jilian Consultants India Pvt. Ltd., the local subsidiary of a Chinese parent entity, Jilian Consultants, and oversaw the creation of several shell companies used throughout the scheme.
One of these entities, Shigoo Technologies Pvt. Ltd., served as a primary vehicle for running the HPZ app and managing investor funds. The CBI has said that more than ₹1,000 crore passed through accounts linked to these companies in just a few months — an unusually fast movement of money that first brought the scam under the scanner.
The agency believes the HPZ app was not an isolated venture but one piece of a larger cybercrime network operating from overseas. The same syndicate is suspected to be behind a string of post-pandemic scams involving fake loan apps, investment platforms, and bogus online job offers — all of which targeted Indian users on a large scale.
Payment Aggregators misused for high-speed laundering
One of the major concerns highlighted in the charge sheet is the misuse of Payment Aggregators — a sector that had only just begun to expand in India at the time. These systems, intended to help legitimate businesses process digital payments quickly, were allegedly exploited to move money across dozens of accounts in seconds.
The CBI wrote that, “The technology has allowed users to access a large number of bank accounts simultaneously.” This enabled the scammers to layer and hide funds before anyone could flag the transactions. In many cases, small payouts were made back to early investors to create trust and keep the scheme afloat.
Money converted to crypto to evade tracking
After circulating the funds through several layers of companies, the operators allegedly converted a substantial portion of the money into cryptocurrency, making it harder to trace and easier to move out of India.
Chartered accountants and company secretaries were brought in to set up the shell firms and keep the paperwork clean enough to pass basic scrutiny.
Investigators say they have now identified the key organisers behind the network, though searches and financial tracking continue for additional suspects.
Arrests and ongoing probe
Six people have already been arrested earlier in the case: Dortse, Rajni Kohli, Sushanta Behra, Abhishek, Mohammed Imdhad Husain, and Rajat Jain. In the latest filing, the CBI has formally named 27 individuals and three companies, taking the total to 30 accused.
In a related proceeding, one of the main accused in the broader ₹2,200-crore HPZ matter has already been declared a fugitive economic offender earlier this year.
Meanwhile, the CBI has said it is “steadfast in its unwavering commitment to dismantling these sophisticated cyber fraud networks through relentless operations like Chakra-V.” The agency added that more arrests and seizures are expected as the investigation expands internationally.
Also Read: India Cracks Down on Crypto Traders with 44,000 Tax Notices
