ED searches, freezes assets in Himachal Korvio Coin crypto case

What the Record Shows

The Directorate of Enforcement (ED), Shimla, announced on 14 December 2025 that it had conducted searches at eight premises in Himachal Pradesh and Punjab on 13 December 2025 under the Prevention of Money Laundering Act, 2002 (PMLA), in connection with what the ED describes as a large-scale fake crypto-currency-based Ponzi and multi-level marketing scam. The ED said the scheme "duped lakhs of investors" in Himachal Pradesh and Punjab "to the tune of Rs 2300 Crore (approx.)."

According to the ED, its investigation was initiated on the basis of multiple FIRs registered by police stations in Himachal Pradesh and Punjab against Subhash Sharma, whom the ED names as the alleged principal accused and describes as having fled the country in 2023, and other associated persons, for offences under the Indian Penal Code, 1860, the Chit Funds Act, 1982, the Banning of Unregulated Deposit Schemes Act, 2019 and allied laws. The ED said its December searches froze three lockers and bank balances and fixed deposits totalling about Rs 1.2 crore.

In a separate release dated 15 June 2026, the ED said it had searched the premises of Vijay Juneja and Masoom Juneja under Section 17(1) of the PMLA and arrested Masoom Juneja under Section 19(1) of the PMLA to investigate the quantum of proceeds of crime. No trial has concluded, and none of the persons named has been convicted.

How It Worked

Per the ED's 15 June 2026 release, in 2018 Subhash Sharma, in connivance with co-accused including Hem Raj, Sukhdev Thakur, Abhishek Sharma and Radhika Sharma, allegedly launched a crypto-currency-based MLM scheme through an online platform, which was later shifted to foreign servers and operated through domains such as korvio.io and voscrow.com. The ED alleges that the public was induced to invest in a token called "Korvio Coin (KRO)" through promises of assured high returns, misleading seminars and manipulated token values, with new tokens introduced to sustain a Ponzi structure in which funds from new investors were used to pay earlier ones.

The ED's December release lists the platforms involved as Korvio, Voscrow, DGT, Hypenext and A-Global, and alleges that the accused created multiple fake crypto platforms, manipulated fictitious token prices, and periodically shut down and rebranded the platforms to conceal the scheme. It further alleges that cash collections routed through builders, shell entities and the personal bank accounts of the accused and their relatives were used to launder the proceeds, that commission agents earned crores by enrolling new investors, and that foreign-travel incentives and promotional events were used to expand the network.

The ED alleges that the proceeds were layered through numerous accounts, fictitious firms and intermediaries, with a portion converted into cryptocurrency to obscure the trail, and that funds were routed to Vijay Kumar Juneja and Masoom Juneja, who allegedly acquired immovable properties at registered values significantly lower than the actual consideration, settling the balance in cash. The ED also states that despite freezing orders issued on 4 November 2023, fifteen plots of land in Zirakpur, Punjab were sold by Vijay Juneja, whom the ED describes as having been arrested by Himachal Pradesh Police in 2025.

Who Lost Money

The scale figures come from two different ED statements and should be read separately rather than added together. In its 15 June 2026 release, the ED said recovered data revealed that more than 2.48 lakh users had become victims, that their transactions exceeded USD 219 million, and that the total loss amounted to about Rs 500 crore. In its 14 December 2025 release, the ED put the scale of the scheme across Himachal Pradesh and Punjab at about Rs 2,300 crore. Each figure is the ED's own characterisation at that stage of the investigation.

On the ED's account, those affected were overwhelmingly small-ticket retail savers in Himachal Pradesh and neighbouring Punjab, the kind of investors drawn in by village and small-town recruitment. The frozen assets disclosed so far, three lockers and about Rs 1.2 crore in balances and deposits, are a small fraction of the sums the ED describes, and any recovery for investors depends on how much the agencies can trace, attach and ultimately realise, a process that in schemes of this kind runs for years.

Where It Stands Now

The matter is at the investigation stage. The ED has said in both releases that further investigation is in progress, and the underlying FIRs registered by Himachal Pradesh and Punjab police remain the basis of the criminal case. The ED says it has arrested Masoom Juneja under Section 19(1) of the PMLA; an arrest under that provision is an investigative step and not a finding of guilt. Subhash Sharma, whom the ED names as the alleged principal accused, is said by the ED to have reportedly fled to Dubai; he has not been tried and his response is not on the public record.

The amounts, the token-manipulation claims and the laundering allegations are the ED's assertions at the investigation stage and have not been adjudicated. An FIR and a PMLA arrest contain allegations, not findings of guilt; the accused are presumed innocent until proven guilty, and due process continues.

What It Means

The case sits in a regulatory gap that is central to how these schemes operate. A self-created crypto token is not a security registered with SEBI, so there is no market regulator vetting its price or disclosures, which is why the underlying FIRs invoke the Chit Funds Act, 1982 and the Banning of Unregulated Deposit Schemes Act, 2019 rather than securities law. When the promoter also controls the platform on which a token's "price" is displayed, that value can be manufactured, and a promise of assured high returns on such a token is the clearest warning sign a saver can look for.

The Banning of Unregulated Deposit Schemes Act makes it an offence to accept deposits outside the regulated framework, and a scheme offering fixed or guaranteed returns that is not a registered bank, NBFC or SEBI-registered product is, by that measure, one to check before committing money. Oquilia's SIP calculator shows what disciplined, regulated investing actually compounds to over time, without any assured-return promise.

Oquilia's enforcement archive follows these matters as they move through the agencies and courts, including related PMLA action in the crypto space such as the ED attachment in the Morris Coin case. None of this is advice to use or avoid any product; it describes how the protections, and their gaps, actually work.

FAQ

Does the FIR mean the accused are guilty?

No. FIRs and a PMLA arrest contain allegations, not findings of guilt. The persons named by the ED are presumed innocent until proven guilty, the matter is at the investigation stage, and no court has recorded any conviction in the case.

What exactly has the ED done so far?

According to the ED, it searched eight premises in Himachal Pradesh and Punjab on 13 December 2025, froze three lockers and about Rs 1.2 crore in balances and deposits, later searched the premises of Vijay Juneja and Masoom Juneja under Section 17(1) of the PMLA on 15 June 2026, and arrested Masoom Juneja under Section 19(1) of the PMLA. The investigation is continuing.

How much do the authorities say investors lost?

The figures differ by release. In December 2025 the ED put the scale of the scheme across Himachal Pradesh and Punjab at about Rs 2,300 crore. In June 2026 the ED said more than 2.48 lakh users were affected, with transactions exceeding USD 219 million and a total loss of about Rs 500 crore. Each is the ED's own characterisation and none has been adjudicated.

Which platforms and tokens are named?

The ED names the token "Korvio Coin (KRO)" and lists the platforms Korvio, Voscrow, DGT, Hypenext and A-Global, operated through domains such as korvio.io and voscrow.com. The ED alleges the platforms were periodically shut down and rebranded to conceal the scheme.

Where can I read the official record?

The ED's press releases of 14 December 2025 and 15 June 2026 are published on the Enforcement Directorate website. The underlying allegations are contained in the FIRs registered by Himachal Pradesh and Punjab police, which are documents in ongoing proceedings.

This report is based on the Enforcement Directorate press release dated 14 December 2025 and the Enforcement Directorate press release dated 15 June 2026, reviewed on 1 August 2026.