- Bail granted: Court releases CoinDCX founders on ₹50,000 bond each
- Fraud allegation: ₹71.60 lakh cheating case registered in Thane
- Defence claim: Founders say they were victims of impersonation scam
- Court observation: No prima facie offence found against accused
- Investigation ongoing: Founders directed to cooperate with authorities
A local court in Thane has granted bail to Sumit Gupta and Neeraj Khandelwal, co-founders of CoinDCX, who were arrested in connection with an alleged ₹71.60 lakh fraud case. The founders were taken into custody by Thane Police on Saturday from Bengaluru following a complaint accusing them of criminal breach of trust and cheating linked to cryptocurrency investments and franchise opportunities.
According to the complaint filed by an insurance advisor, the alleged fraud took place between August 2025 and February 2026. The complainant claimed he was promised high returns and regulatory approvals but did not receive the promised franchise or returns after transferring funds via cash and bank transactions.
Police Action and FIR Details: The Thane Police registered a First Information Report (FIR) against six individuals, including the CoinDCX founders. The complaint alleged that the accused collected funds under the pretext of cryptocurrency investments and business opportunities associated with the company. The complainant further alleged that after receiving the funds, the accused became untraceable.
Defence Arguments in Court
Appearing for the accused, Senior Advocate Pranav Badheka, along with Advocates Rajan Salunkhe and Abhijeet Sawant, argued that the case involved mistaken identity. The defence stated that the complainant had been defrauded by unknown individuals impersonating the CoinDCX founders and misusing the company’s name.
They emphasized that Gupta and Khandelwal had no direct interaction with the complainant and were not involved in any financial transactions related to the alleged fraud. The defence also referenced a prior order from the Delhi High Court obtained by CoinDCX (Neblio Technologies), which addressed unauthorized individuals using the company’s identity. Additionally, they highlighted that the company had issued public warnings about impersonation scams.
Company Response: CoinDCX, in a statement posted on X, described the FIR as “false” and alleged it was part of a broader conspiracy involving impersonators posing as the company’s founders. The company stated that the funds mentioned in the complaint were transferred to third-party accounts unrelated to CoinDCX. It also reiterated its commitment to cooperating with law enforcement authorities and raising awareness about fraud in the cryptocurrency space.
Court’s Observations and Bail Conditions: Judicial Magistrate First Class Nitesh B. Rathod observed that a prima facie case was not established against the accused. The court granted bail to Gupta and Khandelwal on the condition that they execute a personal bond of ₹50,000 each and provide a surety of an equivalent amount. They have also been directed to cooperate fully with the ongoing investigation and any subsequent trial proceedings.
Ongoing Investigation: The case remains under investigation, with authorities examining the role of unidentified individuals allegedly involved in impersonating the CoinDCX founders and defrauding the complainant. Law enforcement agencies are continuing efforts to identify and apprehend those responsible for the alleged scam.
