Life Sentences Imposed in Major Anti-Corruption Case
In a significant ruling, an Indian anti-corruption court has imposed life sentences on 14 individuals, including 11 police officers and a former member of the Bharatiya Janata Party (BJP), linked to a 2018 incident of kidnapping and extortion involving cryptocurrency in Surat. The verdict, pronounced by Special Judge B.B. Jadav in Ahmedabad, deemed the group guilty of a range of serious offenses such as criminal conspiracy, kidnapping for ransom, unlawful detention, and assault, as reported by The Times of India.
The Case of Shailesh Bhatt
The case revolves around businessman Shailesh Bhatt, who was allegedly targeted due to his recovery of some funds from a failed cryptocurrency investment with BitConnect developer Dhaval Mavani. Following the collapse of the $900 million platform, Bhatt managed to obtain some of his investment back in Bitcoin. This recovery apparently triggered a scheme led by ex-MLA Nalin Kotadiya and high-ranking officers including former Amreli district police chief Jagdish Patel, to unlawfully seize Bhatt’s cryptocurrency holdings.
Details of the Kidnapping
On February 11, 2018, Bhatt was kidnapped and held captive at a location near Gandhinagar. The operation was spearheaded by local crime branch inspector Anant Patel along with the accused officers, during which Bhatt was reportedly subjected to physical abuse and coerced into disclosing that he had received 752 Bitcoin, a significant quantity of which was stored with an associate, Kirit Paladiya. In total, Bhatt had sold Bitcoin valued at approximately $5 million.
He only regained his freedom after he promised to surrender some Bitcoin and transfer $3.6 million in cash, but when those transactions failed to occur, he was coerced into selling 34 Bitcoin from Paladiya’s wallet, leading to an extortion of $150,000.
Legal Proceedings and Outcomes
The situation escalated when Bhatt sought assistance from the Union home ministry, instigating a criminal investigation that resulted in the arrest of 15 suspects. The prosecution unfolded with special public prosecutor Amit Patel examining 173 witnesses throughout the proceedings. As part of the ruling, the court mandated that gold items seized from the former Amreli SP Patel would be forfeited and sent to the Master of Mint in Mumbai.
Broader Implications
This case highlights ongoing concerns about corruption within law enforcement in India and the dangers faced by investors in the volatile cryptocurrency market.
