Bitcoin Fraud: Mahasin Hallarae’s ₹33.62 Lakh Fraud; Anticipatory Bail Plea Rejected

The Additional Sessions Court of Greater Bombay has rejected the anticipatory bail plea of Mahasin Hallarae, accused of defrauding an informant of ₹33.62 lakh in a bitcoin investment scam. The case, registered under FIR No. 504/2024 at Wadala T.T. Police Station, revolves around allegations of Hallarae’s involvement in a fraudulent scheme, in which the informant was induced to invest in bitcoins with promises of substantial returns.

The alleged fraud occurred between July and November 2020, when Hallarae and his co-accused, Ruksana, reportedly persuaded the informant to invest ₹33.62 lakh under the pretext of a profitable bitcoin investment. When the informant sought returns on the investment, they received evasive responses, prompting them to lodge a complaint. The police subsequently registered a case under Sections 406 (Criminal Breach of Trust) and 420 (Cheating), read with Section 34 of the Indian Penal Code (IPC).

Hallarae, through his legal representation, contended that he had been falsely implicated in the case, arguing that he had no direct involvement with the informant and that the transaction was solely between the informant and Ruksana. He also pointed out that the FIR was filed after an unreasonable delay of four years, suggesting that there was no need for his custodial interrogation.

The prosecution, however, argued that Hallarae had received part of the defrauded amount in his personal account and that the funds were yet to be recovered. They also raised concerns about a larger fraudulent racket and emphasized the necessity of Hallarae’s custodial interrogation to trace the funds and investigate the extent of the conspiracy. The prosecution further expressed fears that granting anticipatory bail could lead to Hallarae tampering with evidence or intimidating witnesses.

Judge Dr. A. A. Joglekar, presiding over the matter, observed that Hallarae’s prima facie involvement had been established and that custodial interrogation was crucial to the investigation. The court ruled that granting bail at this stage could hamper the investigation, particularly given the potential scale of the fraud.

As a result, the court dismissed Hallarae’s anticipatory bail plea, enabling the police to proceed with further investigation. Authorities are now working to recover the defrauded amount and uncover any additional individuals involved in the scheme.

Leave a Reply

Your email address will not be published. Required fields are marked *