CoinDCX Co-Founders Detained in Fraud Case; Crypto Exchange Says Scammers Using Fake Identities

Sumit Gupta and Neeraj Khandelwal, the co-founders of Indian crypto exchange CoinDCX, have been detained by the police following an official complaint connected to an alleged fraud case involving cryptocurrencies. The FIR was filed on allegations of cheating and financial fraud and the two were arrested and questioned by the police following the FIR

The co-founders were arrested and questioned by the police following the FIR, according to a report by the Economic Times. CoinDCX has also confirmed that an FIR had been filed against its co-founders, but has said the allegations are baseless.

“The FIR filed against our cofounders is false and appears to be part of a conspiracy involving impersonators posing as CoinDCX founders and cheating the public,” CoinDCX said in a statement.

CoinDCX said it has taken cognisance of the issue and issued a public notice on its website, warning that it is being targeted by fraudsters. It also clarified that claims regarding funds being transferred in cash to third-party accounts have no connection to its platform.

It added that brand impersonation and related cyber frauds are an increasing concern in India’s digital finance ecosystem and strongly condemned such actions.

It said they were fully cooperating with the authorities in the investigation. “We remain fully committed to supporting authorities in addressing such misconduct. Between April 1, 2024 and January 5, 2026, we have reported over 1,212 fake websites impersonating coindcx.com. We are fully cooperating with the relevant law enforcement authorities. We remain committed to education and user awareness to safeguard our community against such threats,” it said.

It added they are also taking steps to address the issue and strengthen user protection.