Two Indian nationals, namely; Ramesh Reddy and his friend Prabakaran, are now being held in police custody. The duo is arrested for overreacting, to the point of threatening and extortion, for a failed Bitcoin deal. The incident was reported last Thursday.
Fake Bitcoin Transactions
As the local police have narrated it, Ramesh, the distributor of Ayurvedic medicines in Bengaluru, was contacted by a purported fraudster, who was only known as Naresh. He claimed to have Bitcoins amounting to $4.4 million. He told Ramesh that those funds are in the United States and will be given a commission if he could help Naresh move the funds to India.
It has been accurately noted by Adyar DCP V Vikraman that “he [Naresh] promised 50 percent of that money to Ramesh, only if he found a person who could convert the online currency into Indian Rupees.” At that point, Ramesh has reached out to his real estate friend, Prabakan, on how to achieve the Bitcoin deal. They later have contacted and persuaded a Chennai-based techie, Mohan, to help them withdraw the funds to the Indian.
Ramesh and his friend had promised Mohan a 1% commission to open an e-wallet where Bitcoins will be transferred. However, the money cannot be transferred to India directly for it was coming from the United States; that is why Mohan had to create an account in the UK to move to withdraw the money from the former location. Though, the whole effort of executing the Bitcoin deal went wrong as the money have suddenly vanished, without even reaching the UK.
A terrible ending
Seeing the e-wallet accounts, ‘Swift Global Pay’ and ‘Insta Merchant Pay,’ Mohan realizes that they were fraudulent. Naresh, who made the entire proposal, was also a fraud.
Adding the DCP
Ramesh and Prabakan never believed the Bitcoin deal; that is why they have begun to threaten Mohan and had to repay them the missing money from the money that he had borrowed through his wife’s use of jewels. Even so, the duo has still been threatening Mohan, and then later, they have been reported to the police, this leads to the arrest of Ramesh and his friend.