Karnataka High Court rejects bail plea of police officers in Bitcoin scam

The Karnataka High Court has refused to grant anticipatory bail to a police inspector and Deputy Superintendent of Police, who are among the accused in the Bitcoin scam case. The bail petitions of inspector Chandradhara S R and Deputy Superintendent of Police Shridhar K Pujar, who are accused number three and five respectively in the case were earlier rejected by a sessions court.

Justice Rajendra Badamikar, delivering the verdict, highlighted concerns about potential manipulation of records and destruction of evidence, given the positions held by the petitioners. He emphasised that the allegations included attempts to destroy evidence, making their bail petitions devoid of merit.

Special Public Prosecutor B N Jagadeesha, representing the Crime Investigation Department, argued that the accused officers were involved in facilitating illegal activities, including the transfer of funds and Bitcoins. The CID also contended that the officers colluded with other accused individuals to destroy evidence and evade legal consequences.

The court observed that the actions of the petitioners indicated an attempt to tamper with evidence and assist accused individuals for unlawful gain. It noted instances where the officers allegedly provided illegal substances to detainees and facilitated illegal transactions.

In light of the evidence presented, the court rejected the bail petitions, affirming the seriousness of the allegations and the need for further investigation into the Bitcoin scam case.

The Bitcoin scam had surfaced during the previous BJP regime in 2021, and the Congress then in the opposition had accused the government of trying to cover up the scandal as it involved big names.

The prime suspect, Srikrishna Ramesh alias Sriki, was accused of hacking the state government’s e-procurement site and siphoning off over Rs 11.5 crore.

There were also charges of cryptocurrency theft, drug peddling and cyber fraud relating to the case.