ED Arrests Two More in ₹146 Crore Hashpe Cryptocurrency Scam
The Enforcement Directorate (ED) has arrested two more individuals in connection with the ₹146 crore Hashpe cryptocurrency scam. Syed Usman, also known as Babu, and Dhamodharan Balachandran were detained by the ED's Chennai Zonal Office-II on September 22 under Section 19 of the Prevention of Money Laundering Act, 2002.
The accused allegedly marketed Hashpe as a cryptocurrency trading platform, promising high returns through a token called TCX. To build trust, they organized events such as a launch event and a car award ceremony featuring Bollywood celebrities, referral commissions, and social media promotion, as well as an event on a cruise ship in Mumbai.
The ED alleges that Syed Usman handled large cash investments and operated the Hify Circle account used to receive investor money, while Dhamodharan developed and managed Hashpe's software, database, and crypto operations. Investigators traced the money to personal bank accounts of the two accused, their family members, and linked entities.
The ED searched 11 premises across Chennai, Coimbatore, and Kolkata on September 1 and arrested Imran Basha and Hitesh Kumar earlier in the case. The agency said further investigation is under way.