After promoting BitConnect, a cryptocurrency scam that defrauded millions of its investors following its collapse in 2017, it seems perpetrators of the scam are not going to change their ways.
A top Indian promoter of BitConnect has allegedly defrauded new victims via Regal Coin, a crypto scam he created alongside his daughter and two other associates.
According to a CoinDesk news report which cited the Times of India, Divyesh Darji, a former promoter of BitConnect allegedly created Regal Coin crypto token promising his investors a return in investment as high as 5,000.
Darji was said to have developed an app for the Regal Coin token through which his investors where to invest an average of $2 to get up to $100 in returns through robotic trading profit within 99 days.
However, things went haywire when Darji’s Regal Coin investors found out that the coin was worthless as nothing. CoinDesk reported that series of complaints were filed with police authorities in the city of Ahmedabad, Gujarat, India.
One of his prime investors, Vishal Savalia claimed to have lost about $25,000 to the scam. Savalia was quoted in the CoinDesk report that he invested the sums through Darji’s daughter, Dimki and assistant Ramdayal Purohit.
While Purohit has been arrested, Darji and his daughter are said to be at large.
In the prime days of BitConnect, Darji was one of the largest promoters of the crypto scam before it collapsed after authorities in the US clampdown on the scheme for being a Ponzi scheme.