Cryptocurrency fraud: ED files complaint against 4 accused before special court

Srinagar: The Directorate of Enforcement (ED), Srinagar Zonal Office, has filed a Prosecution Complaint (PC) before the Court of the Principal and Sessions Judge (Designated Special Court under the PMLA) in Srinagar against four persons in connection with an alleged bogus cryptocurrency fraud involving “Emollient Coin”.
In a statement issued here on Wednesday a spokesman of Enforcement Directorate said “The complaint filed on December 31 2025, names Naresh Kumar alias Naresh Gulia, Attiul Rehman Mir, Ajay Kumar alias Ajay Kumar Choudhary, and Ramesh alias Ramesh Gulia under the provisions of the Prevention of Money Laundering Act (PMLA), 2002.”
“The investigation was initiated on the basis of an FIR registered by Ladakh Police at Police Station Leh under Section 420 of the IPC against Attiul Rehman Mir, a resident of Leh, and Ajay Kumar Choudhary, a resident of Jammu, in a case related to an illegal and fraudulent cryptocurrency scheme,” the spokesman said, adding, “The ED probe revealed that Naresh Gulia of Sonipat in Haryana, was the mastermind behind the fake cryptocurrency “Emollient Coin” and a related chain (multi-level) marketing operation. He allegedly designed and developed a fake mobile application for the scheme, which remained entirely under his control. The company running the scheme was deliberately struck off and dissolved on March 5, 2019, after investors were allegedly cheated.”
“Investigations revealed the scheme was floated in collusion with Ajay Kumar Choudhary and Attiul Rehman Mir, with false assurances of doubling investors’ money within 10 months. Investors were also promised land parcels against their investments. The value of the fake cryptocurrency was allegedly manipulated before the lock-in period ended, and the mobile application stopped functioning abruptly in October–November 2019,” he added.
“Hundreds of gullible investors from Leh and Jammu were cheated, resulting in losses of their hard-earned money. The investigation has so far identified proceeds of crime worth Rs 16.81 crore in possession of the accused,” the spokesman said, adding, “During search operations, the ED seized Rs 91 lakh in cash from the residence of Naresh Gulia. It has also provisionally attached 13 immovable properties and balances in two bank accounts, collectively valued at about Rs 6 crore, belonging to the accused, their family members, and others. The attached properties are located in Jammu, New Delhi, and Sonipat.”
“Taking cognisance of the prosecution complaint, the Special Court in Srinagar has issued pre-cognizance notices to the accused, directing them to appear on February 28, 2026. Further investigation is underway to trace the remaining proceeds of crime and identify other individuals involved in the alleged fraud,” the spokesman added