A special court in Mumbai has taken cognisance of a major money laundering case involving cryptocurrency, naming businessman Ripu Sudan Kundra, popularly known as Raj Kundra, as a key accused. The court found sufficient prima facie evidence to proceed against Kundra and co-accused Rajesh Satija under the stringent Prevention of Money Laundering Act (PMLA).
Court Issues Summons for 2026 Appearance
While the court took cognisance of the Enforcement Directorate's (ED) supplementary prosecution complaint on Monday, the detailed order became available on Tuesday. The judge has issued summons to both Raj Kundra and Rajesh Satija, directing them to appear before the court on January 19, 2026.
In the order, the judge stated, "The ED has made out a prima-facie case to take cognizance and to proceed against accused Nos 17 and 18 (Kundra and Satija) for the offence under section 3…the PMLA and to issue process against them." This marks a significant legal step in the high-profile investigation.
The Origins of the Bitcoin Scam
The ED's money laundering probe stems from multiple First Information Reports (FIRs) originally registered by the Maharashtra and Delhi Police. The cases were against Variable Tech Private Limited and several individuals, including the late Amit Bhardwaj, alleged to be the mastermind.
According to the agency, the promoters collected massive sums in Bitcoins from the public by falsely promising a 10 percent monthly return. Instead of using these funds for Bitcoin mining operations as assured, the promoters allegedly cheated investors and hid the illicit assets in obscure online wallets.
Allegations Against Raj Kundra and Rajesh Satija
The investigation claims that Raj Kundra received 285 Bitcoins from Amit Bhardwaj. These Bitcoins, purportedly the proceeds of crime, were meant for setting up a mining farm in Ukraine. As the deal never materialized, the ED alleges Kundra remained in possession of these assets, valued at over Rs 150 crore.
The agency submitted that Kundra not only received the crime proceeds but also attempted to layer the transactions to give them a colour of legitimacy. A key allegation is that he conducted a sale transaction with his wife, actor Shilpa Shetty, at a rate far below the market value to disguise the origin of the funds.
The ED's stance is that Kundra "knowingly acquired, possessed, transferred, layered and used the proceeds of crime obtained and derived by commission of scheduled offence in such a manner as if it was untainted money," thereby making him guilty under Section 3 of the PMLA.
Regarding co-accused Rajesh Satija, the ED claims he received a total of Rs 55 crore from Amit Bhardwaj.
Legal Road Ahead
The court's decision to take cognisance and issue summons sets the stage for a protracted legal battle. The case highlights the increasing scrutiny by Indian financial crime agencies on complex cryptocurrency-related frauds and the use of the PMLA to tackle such modern financial crimes. All eyes will now be on the court proceedings scheduled for early 2026.
