There has recently been a class-action case brought against a cryptocurrency scheme that has duped many Indian investors. Promoted in three Indian languages, by offering investment returns of up to 900 per cent, the scam draws investors. The Delhi court has ordered a notice to be placed in major newspapers, requesting victims of this fraud to come forward.
Class-Action Lawsuit to combat a blockchain scam in India
In order to discourage a bitcoin scheme from threatening to dupe Indian investors, a lawsuit was reportedly lodged. The Delhi court last week ordered a notice to be released in leading Indian newspapers to encourage victims of the scam to come forward.
Local media reported that on behalf of numerous Indian individuals who said they were duped by a corporation called IQ Preference, Advocate Nipun Saxena filed the suit. This website promises to permit users to swap shares, forex, futures, and cryptocurrencies. Twenty-six cryptos are listed on its website, including bitcoin (BTC), ether (ETH), stellar
(XLM), and bitcoin cash (BCH). The financial products of the group include contracts for variance (‘CFD’) and other financial products that are complex,’ the company explained in depth.
According to its website, IQ Choice has more than 48 million registered users from 189 different countries, including India. The place is owned and run by the Cyprus- registered IQ Choice Europe Ltd. and St. Vincent and the Grenadines-registered IQ Option Ltd. Advocate Saxena was quoted by The Leaflet publication as saying:
“Three Indian languages, Hindi, English, and Bangla, are used by the platform to target Indian clients.”
The framework draws investors with mouth-watering commitments, such as a return of up to 900%. Just a small $ 1 initial investment is necessary to engage in the program.
The lawyer also explained that the website contains secret costs, including a 2% withdrawal charge. However, despite paying the bill, consumers said they were also unable to withdraw any cash because the website would request their credentials and then show a sequence of error messages.
In a lawsuit against the websites and smartphone apps used in India for this scam, a permanent order against scammers is demanded. The case further demands an injunction to bar the defendants from carrying out a future venture in India.
An advocate of Saxena argues that the scam distributed through India has duped thousands of other victims. Many people outside India have described IQ Choice as a fraud.
What do you think of such a crypto scam? Let us know in the following comment thread.