Police in the southern Indian city of Bangalore have arrested four people in connection with a crypto ponzi scheme run through an app called ShareHash.

Sheetal Bastawad of Belagavi, taxi driver Imran Riyaz of Gurappana Palya, motorcycle mechanic Rehamatulla Khan, and scrap merchant Zabiulla Khan were among those apprehended, according to local reports.

The crime branch of the Bangalore City Police is still looking for two ShareHash directors identified as Jimmy and Stacy.

According to Kamal Pant, Bengaluru City Commissioner of Police, the group launched a cryptocurrency called Helium Crypto Token (Crypto Miner-HNT) and conducted their activities using the ShareHash app while promising investors high returns.

After tracing 44 bank accounts, authorities seized $1.9 million from the group. 1.6Kg of gold ornaments, more than $100,000 in cash, five company seals, mobile phones, laptops, and 44 Digital Signature Certificate tokens were also discovered and seized by police.

Recently, bad actors have continued to use cryptocurrencies to defraud unsuspecting investors. Earlier this month, Indian authorities seized approximately $286,000 in cryptocurrency used in drug trafficking across the country.

According to another report, the US Department of Justice recently seized $34 million in cryptocurrencies linked to illegal operations on the dark web.

Meanwhile, China’s Director of the Ministry of Public Security’s Criminal Investigation Bureau believes that criminals in the country primarily use USDT to launder their proceeds.

Due to a lack of clarity between cryptocurrency exchanges and the National Payments Corporation of India, which controls the United Payments Interface, cryptocurrency payments have been frozen across India (UPI).

The Indian government is taxing profits from the transfer of any virtual assets, such as Bitcoin, beginning this month. According to Bloomberg, Surojit Chatterjee, the product manager at Coinbase, made an unexpected announcement, resulting in an unanticipated fallout in the Indian crypto market.

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