Bitcoin Scam: ED Raids Bengaluru Properties of Karnataka Congress MLA N.A. Haris’ Sons Mohammed Haris Nalapad and Omar Farook Nalapad

New Delhi: The Enforcement Directorate (ED) on Monday carried out searches across multiple locations in Bengaluru as part of an ongoing probe into an alleged cryptocurrency-linked money laundering case. The action has brought fresh attention to a long-running investigation tied to cybercrime and stolen digital assets.

According to officials, nearly a dozen premises were raided under provisions of the Prevention of Money Laundering Act (PMLA). Among those searched were properties linked to Mohammed Haris Nalapad and Omar Farook Nalapad, the sons of Karnataka Congress MLA N. A. Haris. The legislator represents the Shantinagar constituency in Bengaluru. 

The searches are also connected to an alleged international cyber hacker, Srikrishna Ramesh, popularly known as “Sriki.” He has been under the radar of law enforcement agencies for several years in connection with hacking cases involving both Indian and international targets. 

Background of the Case

The ED’s current action stems from multiple FIRs and charge sheets filed earlier by the Karnataka Police. These cases date back to around 2017, when authorities uncovered a series of cyber intrusions allegedly carried out by Sriki and his associates. Investigators claim that the group hacked into several high-profile websites and systems, siphoning off cryptocurrencies, particularly Bitcoin.
The stolen digital assets were then allegedly routed through complex channels to obscure their origin - a key element that triggered the money laundering probe under the PMLA.

Allegations Against the Nalapad Brothers

Officials familiar with the investigation have alleged that Mohammed Haris Nalapad and Omar Farook Nalapad were among the beneficiaries of the proceeds generated through these illicit activities.  
Nalapad brothers were also interrogated in June 2024 over alleged financial links to Sriki. It is suspected that the brothers financed Sriki’s expensive stays, travel, and other expenditures between 2017 and 2018

What Happens Next

The ED is expected to analyse documents, digital devices, and financial records seized during the raids. These could provide further clarity on how the alleged cryptocurrency gains were moved, stored, and possibly integrated into the formal economy.