The Enforcement Directorate (ED) has taken a major action against the online gaming app Fiewin and has frozen assets worth about Rs 25 crore. A fraud of Rs 400 crore has been done through this app, whose money was sent to China. ED's investigation revealed that Chinese citizens used this app in anti-India activities.

How did the scam happen?

The Fiewin app was being operated by Chinese citizens, who ran it with the help of Indian citizens. The money deposited from people through the app was put into the accounts of "recharge persons", who converted it into crypto currency and sent it to China. People like Arun Sahu and Alok Sahu of Odisha were involved in this work, who used bank accounts for this app.

Web of crypto currency and money laundering
ED's investigation revealed that Chetan Prakash, an engineer from Patna, helped in this money laundering work. He played an important role in converting the deposited money into crypto currency (USDT). Another person named Joseph Stalin also took part in this scam, who helped a Chinese citizen Pi Pengyun to become the co-director of his company.

What was the method of the scam?

Pi Pengyun and Joseph Stalin won the trust of the people and inspired them to place big bets on the app. After this, the money associated with the app was converted into crypto currency and transferred to Binance wallet in China. ED investigation revealed that about Rs 400 crore was sent in this way to 8 Binance wallets operated in the name of Chinese citizens.

Property worth Rs 25 crore frozen

ED has so far frozen property worth Rs 25 crore in this case and arrested four people Arun Sahu, Alok Sahu, Chetan Prakash and Joseph Stalin. All these accused kept in touch with Chinese citizens through Telegram and played an active role in this fraud.