CoinDCX co-founders Sumit Gupta and Neeraj Khandelwal were arrested in a ₹71.6 lakh fraud investigation by Thane Police.
The FIR alleges fake promises of high returns and franchise opportunities were made to a victim between August 2025 and February 2026.
CoinDCX vehemently denies involvement, attributing the entire scam to bad actors impersonating its leadership.
The company claims victim funds were routed to third-party accounts totally unrelated to CoinDCX operations.
The incident serves as a critical cautionary tale for Indian founders regarding the severe legal liabilities associated with brand hijacking.
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