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In a coordinated cross-border operation, global blockchain platform Binance has assisted the Ahmedabad Cyber Crime Branch in tracking and disrupting a sophisticated scam network that exploited victims across South and Southeast Asia. The scam, which was part of a growing trend of "digital arrest" frauds, included impersonating law enforcement personnel in order to extort funds using crypto.
One of the most alarming cases involved a 90-year-old man in Gujarat who lost ₹1.25 crore (approx. USD 149,700) after being coerced into transferring funds under fabricated legal charges. In a parallel case, a young jobseeker from India was lured to Nepal under false pretenses, held against his will, and forced to launder nearly ₹49 lakh (approx. USD 58,680).
These cases highlight a growing pattern and trend of cybercriminals attempting to use digital assets to transfer illicit funds across borders. However, due to the inherent transparency of blockchain technology, investigators, assisted by Binance's Financial Intelligence Unit (FIU), were able to monitor wallet activity, flag suspicious transactions, and assist with arrests.
“This case highlights the growing sophistication of cyber scams and the need for cross-border cooperation. With timely support from Binance’s FIU team, we were able to trace the crypto trail, identify key suspects, and move quickly on arrests. Our goal is to dismantle this criminal network at its roots and to protect not just the known victims, but also the many others who may be targeted next. We hope to continue working with partners like Binance, whose support is crucial in staying one step ahead of these evolving threats.” said Senior Investigator, Cyber Crime Branch, Ahmedabad City Police
Binance’s FIU team responded swiftly to law enforcement requests, identifying wallets involved in laundering activities and helping local authorities build actionable leads. In both cases, suspects have been apprehended, with further investigations ongoing.
The "digital arrest" scam is gaining hold in the region, with scammers using fear tactics to push and coerce victims into transferring money often through rented accounts and crypto wallets to conceal their identity. Binance's assistance proved critical in unraveling these intricate networks and securing prompt enforcement action.
“Our collaboration is focused on tracing stolen funds and identifying those attempting to exploit crypto for fraud or money laundering. Our support was aimed at helping trace illicit transactions and catch bad actors attempting to misuse crypto infrastructure. Every blockchain transaction leaves a visible, verifiable trail, and when used responsibly, this transparency becomes a powerful tool to fight financial crime. This case is a strong example of how crypto can actually help stop criminal activity while protecting law-abiding users. Binance remains committed to safeguarding user privacy and building a secure, trusted crypto ecosystem in India and globally.” said Kushal Manupati, Regional Growth & Ops Lead of South Asia, Binance
Binance strives to be a proactive ally in cybersecurity and digital financial integrity. This case is a clear example of how blockchain technology, when combined with strong partnerships, can play a vital role in tackling modern financial crime.
