HPZ Token Scam: CBI chargesheet names 27 people, 2 Chinese nationals

CBI has filed a chargesheet against 27 people and 3 companies, including two Chinese nationals, in the Rs 1000 crore HPZ Token investment fraud. The scam used a fake app and shell companies to dupe investors during the COVID-19 lockdown.

The Central Bureau of Investigation has filed a chargesheet against 27 people and 3 companies on account of an investment fraud during the COVID-19 lockdown, amounting to crores. The names revealed in the HPZ Token Investment fraud case also include two Chinese nationals, Wan Jun and Li Anming, leading to revelations about other scams post-COVID-19.

Rs 1000 Crore Scam Using Fake Apps

Assumed to be controlled by Chinese nationals, the entity that led the whole scam has moved crores from the Indian public by making false promises on fake apps about jobs, cryptocurrency and other investment opportunities. In just a few months, the people in the chargesheet had collected and transferred more than Rs 1000 crore.

They made it possible through multiple shell companies, one of them being Shigoo Technologies, which was directly linked to Wan Jun, and so did several others. These cyber scam frauds are linked to a single syndicate abroad, as revealed in the investigation.

How the 'HPZ Tokens' App Lured Investors

The names of Wan Jun and Li Anming come after CBI had initially arrested 6 accused and looked further into their accomplices. They launched a fake mobile app called "HPZ Tokens" which promised that your investment would go towards cryptocurrency and result in enormous gains.

What aided this fraud is the fact that the Indian public was still getting used to payment aggregators, which allow people to access digital money faster. They were also able to collect large sums of money by using the guise of a genuine company and transferring partial amounts to their investors to keep the scam going.

Masterminds and Money Laundering Trail

Wan Jun was the director of Jilian Consultants India Pvt. Ltd., which acted as a subsidiary of the Chinese company Jilian Consultants. Along with Dortse, they had created and managed multiple companies to pool money together.

After the scam, they turned the money into crypto and moved it out of the country without any hurdles.

CBI Vows Continued Action Against Cyber Fraud

CBI states that they are steadfast in the ongoing investigation of this matter and are looking into other suspects to halt the rise of these cyber fraud networks with operations such as Chakra-V. They are working to make the Indian Digital economy realm even more secure for investors.

(Except for the headline, this story has not been edited by Asianet Newsable English staff and is published from a syndicated feed.)