The Enforcement Directorate (ED) on Monday, April 20, conducted searches at premises linked to Mohammed Haris Nalapad and Omar Farook Nalapad, sons of Congress MLA NA Haris, in connection with a cryptocurrency-linked money laundering probe.
Officials said the searches were carried out at around 12 locations across Karnataka under the provisions of the Prevention of Money Laundering Act (PMLA), as part of an ongoing investigation into alleged illegal financial transactions involving hacker Srikrishna Ramesh, also known as Sriki, and other accused persons.
The searches in Bengaluru included premises linked to the Nalapad family, including locations in Ashok Nagar associated with NA Haris and his son Mohammed Nalapad. Officials said Mohammed Nalapad had earlier been questioned by the State CID in connection with the Bitcoin case.
According to the ED, Mohammed Nalapad and Omar Farook Nalapad are alleged to be close associates of Srikrishna and among the key beneficiaries of the proceeds of crime generated through the alleged activities.
The investigation stems from multiple FIRs and chargesheets filed by Karnataka Police in a 2017 case involving allegations of hacking national and international websites, theft of bitcoins, extortion, and violations under the Narcotic Drugs and Psychotropic Substances Act.
The ED said its probe has revealed a structured modus operandi in which the accused allegedly hacked websites and cryptocurrency wallets to steal virtual digital assets, which were then sold through crypto trading platforms. The proceeds were subsequently routed through bank accounts to layer transactions and conceal their origin before being used for personal gains.
According to media reports, the agency is examining alleged financial dealings between Srikrishna and his associates, including transactions estimated at around Rs 4.5 crore. The ED is also scrutinising documents seized during the searches as part of its ongoing investigation.
In addition to the Nalapads, searches were conducted at premises linked to Aqeeb Khan, grandson of former Union Minister K Rahman Khan, who has also been named by officials as a suspected beneficiary of the proceeds of crime.
The ED said further investigation is underway.