A class action suit is claimed to have been filed against a cryptocurrency scheme that has duped many Indian investors. Promoted in three Indian languages, the scam draws investors by offering up to 900 per cent return on investment. The Delhi court ordered a notice to be published in major newspapers, requesting victims of this fraud to come forwards.
Class-Action Lawsuit to Stop a Crypto Scam in India
A representative complaint was allegedly filed to stop the cryptocurrency fraud from attempting to dupe Indian investors. The Delhi court last week released a notice to be published in leading Indian newspapers asking victims of the fraud to come forwards.
Advocate Nipun Saxena filed a suit on behalf of numerous Indian people who believed they had been duped by a business named IQ Choice, local media said. This website promises to allow users to exchange inventories, forex, options and cryptocurrencies. Twenty-six cryptos exist on its website, including bitcoin (BTC), ether (ETH), stellar (XLM) and bitcoin cash (BCH). “The financial products offered by the company include differential contracts (‘CFDs’) and other complex financial products,” the company explained.
According to its website, IQ Choice has more than 48 million registered users from 189 countries, including India. The platform is managed and run by Cyprus-registered IQ Choice Europe Ltd. and St. Vincent and the Grenadines-registered IQ Option Ltd. Advocate Saxena was quoted in the Leaflet publication as saying:
“The platform uses three Indian languages, Hindi, English, and Bangla to target Indian customers.”
The scheme lures investors with mouth-watering promises, such as a return of up to 900%. Only a small $1 initial investment is required to participate in the scheme.
The lawyer explained that the platform has hidden fees, including a 2% fee charged for every withdrawal. However, after paying the fee, customers said they were still unable to withdraw any money as the website would ask them for their credentials and then display a series of error messages.
The lawsuit seeks a permanent injunction against the scammers and to block all websites and mobile apps used for this scam in India. The suit also seeks an injunction to prevent the defendants from operating a future business in India.
Advocate Saxena believes that there are thousands of other victims scattered across India who have been duped by this scam. Many people outside of India have also reported IQ Option as a scam.
250 Interactions, 12 today