In India, the Himachal Pradesh High Court has turned down the bail plea of Abhishek Sharma, one of the accused in a large-scale cryptocurrency and multi-level marketing (MLM) fraud that allegedly robbed over 80,000 investors of an estimated Rs 500 crore in losses, out of a total investment pool of Rs 2,000 crore.
Justice Sushil Kukreja delivered the order on April 30, rejecting the bail application filed under Section 483 of the Bharatiya Nagarik Suraksha Sanhita (BNSS).
“Economic offences are considered grave offences as they affect the economy of the country as a whole, and such offences having a deep-rooted conspiracy and involving huge loss of public funds are to be viewed seriously,” Justice Kukreja stated in the order, as per the report by the Indian Express.
The Scam: Fake coins, fake promises
The case traces back to a series of First Information Reports (FIRs) filed by police stations across Himachal Pradesh and Punjab against Subhash Sharma, the alleged mastermind of the operation, and his associates. The accused ran the scheme through a chain of fake cryptocurrency platforms, including Korvio, Voscrow, DGT, Hypenext, and A-Global.
Abhishek Sharma had joined the scheme in 2018 as a promoter of the Korvio platform. He registered on the MLM software, built out his network, and held public gatherings in multiple cities where he made inflated claims about the organic growth of “Korvio Coin.” Investigators found he was among the top-tier liners in the chain and a close associate of the main accused.
Investors were issued virtual currency in exchange for their money, with assurances that their returns would double. Small payouts were made in the initial phase to build credibility and pull in more participants.
On December 25, 2021, all payments stopped abruptly. The promoters then shifted operations to Hypenext, providing partial returns for a short period before releasing a video blaming “technical issues” and asking investors for five more months. Investors were then directed to move funds to A-Global, from which no returns were ever received.
ED raids, absconding accused, and a Dubai trail
In December 2025, the Enforcement Directorate (ED) conducted searches at 8 locations across Himachal Pradesh and Punjab under the provisions of the Prevention of Money Laundering Act (PMLA).
The agency froze three lockers and bank deposits totaling approximately Rs 1.2 crore and seized incriminating documents related to investments in immovable properties, including benami assets acquired using proceeds of the fraud.
Investigators found that token prices were manipulated, and that money was routed through real estate developers, shell companies, and family bank accounts for laundering. Several commission agents allegedly earned crores of rupees by recruiting new investors, and foreign travel was used as an incentive to spread the scheme further.
Subhash Sharma, the alleged mastermind, fled India in 2023. Several other high-level accused had already moved to Dubai before FIRs were even registered, prompting lookout circulars. One accused was intercepted at IGI Airport, New Delhi, in December 2025.
Court weighs public interest over prolonged detention
Abhishek Sharma’s counsel argued for bail on the grounds of prolonged custody. The court acknowledged that Article 21 of the Constitution guarantees the right to a speedy trial and bars indefinite detention of undertrial prisoners. However, it held that the scale of the offence and the petitioner’s active role outweighed the duration of custody.
The court noted that backend data analysis, payout records, and witness statements all pointed to Sharma’s substantial role across platforms, including Korvio, Voscrow, DGT, and Hypenext. The chargesheet had already been filed, and the court found no substantial change in circumstances since his earlier bail rejections.
“Prima facie, considering the role played by the petitioner in the entire episode, the impact of such economic offences on society, particularly on the common man who has been lured to make investments, this court is not inclined to release the petitioner on bail at this stage in the larger interests of the public and the state,” the court said.
The fact that some co-accused had been granted bail was not considered a sufficient ground to extend the same relief to Abhishek Sharma, given his position in the hierarchy of the scheme.
A pattern Indian courts are watching closely
This is not the first time an Indian court has taken a firm line on cryptocurrency-based fraud. The same bench had denied bail to Sharma in August 2025, and the December 2025 ED raids signaled that the money trail investigation was still very much active. A Special Investigation Team (SIT) was constituted in 2023 specifically to probe cryptocurrency-related frauds across Himachal Pradesh.
The case also highlights a structural problem that Indian regulators have long flagged. MLM and Ponzi schemes have repeatedly used the promise of crypto returns to lure investors in tier-2 and tier-3 cities, where financial literacy and awareness of digital asset risks remain limited.
Also Read: India’s ED Widens ₹2,200 Cr HPZ Scam Probe, Uncovers Cross-Border Links
