Altcoin News: Bank of India Blocks Police Funds from the Sale of Confiscated Cryptocurrencies

October 4, 2019, by Marko Vidrih on ALTCOIN MAGAZINE

A curious situation happened in India — the country’s police lost access to $1.2 million from the sale of confiscated cryptocurrencies. The Bank of India has blocked the account where funds were stored.

According to Jairam Paygude, the senior cybercrime police inspector, the account was blocked in accordance with the order of the Reserve Bank of India, according to which public institutions are prohibited from working with cryptocurrencies. Thus, the account of Discidium Internet, which, by order of the police, transferred 244 Bitcoins in rupees, was blocked.

The funds were confiscated by the police in the middle of last year and belonged to the cryptocurrency pyramid Gain Bitcoin. Investor losses are estimated at $300 million, but the police were able to confiscate only 244 Bitcoins. At the moment, the police department appealed to the court with a request to unblock the account, but so far the court session has not taken place.

The Government of India is systematically tightening the conditions for working with cryptocurrencies. This year, a bill appeared in the country prohibiting interaction with cryptocurrencies for both companies and individuals. For violation of the ban, penalties are provided, up to imprisonment for up to 10 years. After that, some cryptocurrency companies decided to leave India and register in other jurisdictions.

Author: Marko Vidrih