India Freezes $4.8M in Assets Linked to Coinbase Phishing Scam Scam

Indian authorities have frozen approximately $4.8 million in assets linked to a large-scale cryptocurrency scam targeting Coinbase users, marking a significant escalation in the enforcement action against the alleged fraudster Chirag Tomar. The Enforcement Directorate (ED) carried out the asset freeze under the Prevention of Money Laundering Act (PMLA), seizing 18 immovable properties in Delhi and multiple bank accounts associated with Tomar, his relatives, and connected entities [4]. The investigation focuses on Tomar's alleged role in orchestrating a phishing scheme between mid-2021 and late 2023 [1].

The scam involved the creation of a counterfeit website designed to mimic the legitimate Coinbase Pro platform, using deceptive domain names and SEO techniques to lure users into logging in with their credentials and two-factor authentication codes [4]. Once access was gained, victims' accounts were drained of cryptocurrency, with U.S. prosecutors estimating total losses to exceed $37 million [4]. The stolen assets were allegedly laundered through peer-to-peer exchanges and converted into Indian rupees before being transferred into Tomar’s family accounts and shell companies [4].

Tomar was arrested in the U.S. in December 2023 and was later sentenced to five years in federal prison in October 2024 after being convicted in May 2024 [4]. Despite being incarcerated in the U.S., the assets in India have been frozen, demonstrating the cross-border nature of the crime and the ED's ability to trace and seize ill-gotten gains [4]. The frozen assets include properties and bank accounts, underscoring the sophisticated financial network allegedly used to hide the proceeds of the scam [1].

This action follows an earlier asset seizure of ₹2.18 crore ($259,000) in February 2025 during raids in Delhi, Mumbai, and Jaipur [4]. The case highlights the challenges faced by global authorities in tackling digital financial crimes that span multiple jurisdictions. Indian officials have emphasized the need for stronger compliance standards within crypto platforms and increased international collaboration to address the growing risks posed by cryptocurrency-related fraud [4].

The enforcement action against Tomar marks a significant development in India's efforts to combat cybercrime and financial fraud. It signals a broader intent to pursue digital financial crime more rigorously and demonstrates the increasing capabilities of Indian enforcement agencies in tracking and seizing proceeds from international cybercrime and cryptocurrency fraud [4]. As the investigation continues, further details about potential co-conspirators and the full scope of the financial network involved may emerge [4].

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[1] title1.............................(https://www.chaincatcher.com/en/article/2195637)

[2] title2.............................(https://www.ainvest.com/news/india-ed-freezes-4-8m-assets-coinbase-phishing-scam-2508/)

[3] title3.............................(https://decrypt.co/333705/india-freezes-assets-man-jailed-us-20m-crypto-fraud)

[4] title4.............................(https://financefeeds.com/india-freezes-%E2%82%B942-8-crore-in-assets-linked-to-convicted-crypto-fraudster-chirag-tomar/)