Another $3.7 million in OneCoin funds seized in India
With the glitz of the Global Macau event come and gone, it’s back to reality for OneCoin affiliates.
As authorities in India continue to investigate the scam, the latest development is another Rs. 240 million ($3.7 million USD) has been seized.
The Mumbai EOW announced earlier today the funds have been seized from nine bank accounts across four states.
The police found that the accounts were operating in Delhi, Rajasthan, Gujarat and Maharashtra.
“We found Rs 24 crore in the accounts and blocked them. Most are beneficiary accounts and did not have any outflow,” said an officer.
Rather than forward the money to OneCoin for new points, the affiliates would instead stash invested funds and transfer their own points to newly created accounts. Their newly recruited victims would then be given access to the accounts.
Analysis of transaction histories for the accounts revealed peak OneCoin Indian affiliate recruitment was last November.
This attracted suspicious activity reports from the banks, which police continue to investigate.
As converting OneCoin points into cash became increasingly difficult throughout 2016, recruitment activity is believed to have declined.
OneCoin banned affiliates from converting points into cash back in January, with millions of dollars in invested funds currently unaccounted for.
The Indian regulatory investigation into OneCoin has so far seen eighteen affiliates arrested and $6.6 million USD seized.
While the 18 arrested belong to the lower rung of the organisation, the police said they had identified those working at the firm’s higher levels.
Whether top Indian OneCoin affiliates are still in the country or have since fled is unclear.
Despite holding a seminar event in Macau over three days this past weekend, OneCoin did not address the Indian investigation. The recent German regulatory ban was also not brought up.