Shailesh Babulal Bhatt, an Indian investor from Gujarat, was arrested on August 13, 2024, for allegedly kidnapping two employees connected to the infamous BitConnect Ponzi scheme.

In a bid to recover losses from BitConnect, Bhatt and his accomplices kidnapped employees of the scheme's creator, Satish Kumbhani, demanding a ransom of 2,091 Bitcoins, 11,000 Litecoins, and approximately $1.7 million in cash.

The total value of the extorted assets is estimated at around $146.8 million at current market rates, highlighting the scale of the operation.

The BitConnect Ponzi scheme, which collapsed in 2018, defrauded investors of approximately $2.4 billion, leading to significant financial losses for thousands.

At its peak, BitConnect promised high returns through a lending program and a trading bot, but was ultimately revealed as a fraudulent operation.

Satish Kumbhani, the founder of BitConnect, was charged by the Department of Justice in February 2022 and remains at large, complicating the ongoing investigation.

The investigation is actively searching for Kumbhani, as authorities continue to unravel the complexities of the BitConnect case.

The Enforcement Directorate of India has taken significant action by recovering assets valued at approximately $52 million linked to the case, indicating a strong effort to recover ill-gotten gains.

The ED has seized over $52 million in properties linked to Bhatt during the investigation, showcasing the scale of financial misconduct involved.

Bhatt allegedly offered $34 million to accomplices involved in the kidnapping, using the ransom funds to acquire properties and assets.

Currently, Bhatt is in custody under India's Prevention of Money Laundering Act as investigations continue into his activities and connections to the BitConnect scheme.

The investigation into Bhatt was initiated based on two First Information Reports related to BitConnect filed by the State Crime Investigation Department in Surat.