A special court in Mumbai has taken a significant step in the high-profile 'Gain Bitcoin' Ponzi scheme, issuing formal summons to businessman Ripu Sudan Kundra, widely known as Raj Kundra. The court has directed Kundra and another accused, Rajesh Satija, to appear before it on January 19, 2026.
The Court Order and Charges
Special Judge RB Rote passed the order after the Enforcement Directorate (ED) submitted a supplementary prosecution complaint. The judge officially issued process against Kundra (listed as accused No. 17) and Satija (accused No. 18) for offences under Section 3, punishable under Section 4 of the Prevention of Money Laundering Act (PMLA). Special Public Prosecutor Kavita Patil represented the central agency during the proceedings.
The money laundering case stems from multiple First Information Reports (FIRs) originally registered by the Maharashtra and Delhi Police. These FIRs targeted Variable Tech Private Limited and several individuals, including the late Amit Bhardwaj, alleged to be the mastermind of the scheme.
Details of the Gain Bitcoin Scam
According to the Enforcement Directorate's investigation, the promoters of the scheme lured investors by promising monthly returns of 10% on investments made in Bitcoin. They collected vast sums from the public under the guise of using the funds for Bitcoin mining operations.
However, the agency alleges that instead of investing in mining, the promoters cheated the investors. The proceeds of the crime were then concealed in obscure online cryptocurrency wallets. The total estimated value of the Ponzi scheme is a staggering Rs 6,600 crore.
Raj Kundra's Alleged Involvement
The ED's chargesheet makes specific allegations against Raj Kundra. The agency claims that Kundra received 285 Bitcoins from Amit Bhardwaj. These Bitcoins, valued at over Rs 150 crore, were purportedly given for establishing a Bitcoin mining farm in Ukraine.
The investigation asserts that these Bitcoins were proceeds of crime from the Ponzi scheme. As the planned mining farm deal in Ukraine never materialized, the ED alleges that Kundra continued to hold these assets.
In a related action last year, the ED had provisionally attached properties worth Rs 97.79 crore linked to the case. These assets included a residential flat in Mumbai's Juhu area, held in the name of Kundra's wife, actor Shilpa Shetty, and a bungalow in Pune.
International Dimension of the Probe
The investigation has also taken an international turn. In December, the special court granted the ED's application to issue a 'Letter of Request' to the Central Authority of the United Arab Emirates (UAE).
This formal request, submitted through prosecutor Kavita Patil, seeks legal assistance from UAE authorities to execute attachment orders against immovable properties suspected to have been acquired there using the scam's proceeds. The judge stated that the court was satisfied of the necessity for this international legal cooperation.
The summons for January 2026 sets the stage for the next phase of legal proceedings in one of India's most significant cryptocurrency-related financial fraud cases.
