What is the Karnataka Bitcoin scam investigation about?

The investigation centres on cryptocurrency allegedly stolen during a 2017 hack of Indian crypto exchange Unocoin. Authorities claim some of the stolen assets were later converted into cash through hawala channels, leading to a wider criminal probe.

Why has the Karnataka Bitcoin scam become politically significant?

The case gained political attention after Mohammed Haris Nalapad, the son of Congress MLA N.A. Haris, was named as an accused in the investigation. Karnataka Home Minister Priyank Kharge also suggested that politicians from the opposition BJP could be implicated as the probe continues.

Who is Mohammed Haris Nalapad and what are the allegations?

Mohammed Haris Nalapad is the son of Congress legislator N.A. Haris. According to the SIT charge sheet, investigators believe he was among the alleged beneficiaries of cryptocurrency stolen from the Unocoin hack.

How much was the stolen cryptocurrency worth?

Investigators said the stolen cryptocurrency was valued at approximately ₹1.14 crore at the time of the 2017 breach. Based on current market prices, the assets are now estimated to be worth more than ₹35 crore.

Who is Srikrishna Ramesh, also known as "Sriki"?

Srikrishna Ramesh, commonly known as "Sriki", has been identified by investigators as the alleged mastermind behind the cryptocurrency theft scheme. He is currently in judicial custody following his arrest.

What role did hawala channels allegedly play in the case?

According to investigators, some of the stolen cryptocurrency was allegedly converted into cash through hawala networks. Hawala systems are informal money transfer mechanisms that operate outside conventional banking channels.

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Bitcoin scam probe widens into Karnataka politics

Written by Mahathir BayenaPublished Jun 11, 2026, 2:53 AM

Karnataka's Bitcoin scam investigation has expanded into a broader political controversy after Mohammed Haris Nalapad, son of Congress MLA N.A. Haris, was named as an accused in a cryptocurrency-linked fraud case.

The development follows a charge sheet filed by the Special Investigation Team in a Bengaluru court alleging that Nalapad was among the beneficiaries of cryptocurrency stolen during a 2017 breach of the Unocoin exchange.

Karnataka Home Minister Priyank Kharge said the investigation was being conducted transparently and suggested that politicians from the opposition Bharatiya Janata Party could also be named as the probe advances.

“As per my knowledge, there are many other names, including those of BJP leaders,”

Said Karnataka Home Minister, Priyank Kharge.

Investigators allege the stolen cryptocurrency, valued at about ₹1.14 crore at the time of the hack and now estimated to be worth more than ₹35 crore, was converted into cash through hawala channels.

The charge sheet identifies Srikrishna Ramesh, known as “Sriki,” as the alleged mastermind behind the scheme, while accountant Robin Khandelwal was also named in the investigation, with both individuals currently in judicial custody.

The case comes as India faces increasing cryptocurrency-related crime, with recent investigations involving alleged crypto fraud, terror financing, narcotics-linked transactions and money laundering activities carried out through digital asset networks.

At the time of reporting, Bitcoin price was $61,998.83.

Bitcoin scam probe widens into Karnataka politics

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