© Reuters
MUMBAI – Nikhil Mahajan, an executive of Katalyst Entertainment, has been taken into custody by the Enforcement Directorate (ED) of India for his alleged involvement in a multi-billion rupee fraud case. The Mumbai special court ordered Mahajan to remain in custody until January 25, following his arrest for links to a Rs 6.606 billion bitcoin scam.
The scam, which has been linked to Variabletech PTE Ltd and the late Amit Bhardwaj as well as his brother Ajay Bhardwaj, operated as a Ponzi scheme that falsely promised investors high returns on their investments. According to the ED, Mahajan played a role in promoting this fraudulent scheme by conducting seminars in Dubai and, as a result, received a payment of 40 bitcoins for his services.
Investors suffered considerable financial losses as their funds were funneled into opaque online wallets, a common tactic in Ponzi schemes to hide money flows and complicate recovery efforts. The case continues to evolve as authorities investigate the fraudulent activities of the Bhardwaj brothers and their associates.
This article was generated and translated with the help of AI and reviewed by an editor. For more information, see our T&Cs.