The Enforcement Directorate (ED), Srinagar Zone, on Wednesday filed a prosecution complaint in the Rs.16.81-crore fake cryptocurrency scam involving “Emollient Coin” before the special court under the Prevention of Money Laundering Act (PMLA).
The complaint names Naresh Kumar alias Naresh Gulia, Attiul Rehman Mir, Ajay Kumar alias Ajay Kumar Choudhary and Ramesh alias Ramesh Gulia as accused under the provisions of the PMLA, 2002.
The ED initiated its investigation based on an FIR registered by the Ladakh Police at the Leh Police Station under Section 420 of the IPC against Attiul Rehman Mir of Leh and Ajay Kumar Choudhary of Jammu. The case pertains to an alleged illegal and bogus cryptocurrency scheme that duped investors by promising high returns.
A spokesman of the Central agency said that the “ED investigation revealed that Naresh Gulia (a resident of Sonipat, Haryana) was the actual mastermind for running the business of selling the fake cryptocurrency “Emollient Coins” and chain (multi-level) marketing business”.
“He also designed and developed a fake mobile application “Emollient Coin” for the said fraud scheme, which was completely under his control. After cheating investors, the said company was deliberately struck off & dissolved on 05-03-2019. This scheme was floated by Naresh Gulia in collusion with Ajay Kumar Choudhary and Attiul Rehman Mir with fraudulent assurance of doubling the investment of the investor/customers in a period of 10 months. It was also assured that the investors will be provided land parcels against their investment in due course”.
“The value of the said fake coin was artificially increased and brought down by Naresh Gulia before the completion of lock-in period and the said mobile application suddenly stopped working in the month of October-November 2019. Investigation revealed that Naresh Gulia in collusion with Attiul Rehman Mir and Ajay Kumar Choudhary cheated hundreds of gullible people who lost their hard-earned money”, the spokesman said.
He said that further investigation revealed that Naresh Gulia, Attiul Rehman Mir and Ajay Kumar Choudhary were in possession of Proceeds of Crime (POC) to the tune of Rs 16.81 Crore which was collected by cheating innocent investors of Leh and Jammu by enticing them to invest in the fake cryptocurrency in the guise of providing higher returns and land parcel against their investment in fake cryptocurrency namely Emollient Coin.
“During investigation, the ED has seized an amount of Rs. 91 Lakh in cash from the residence of Naresh Gulia during search action and has subsequently attached 13 immovable properties and balance in two bank accounts, amounting to Rs. 6 Crore, belonging to Naresh Gulia, Ajay Kumar Choudhary, Attiul Rehman Mir, their family members and others. Attached immovable properties are situated at Jammu, New Delhi and Sonipat (Haryana)”, he said.
In response to the Prosecution Complaint filed by the ED, the Special Court, Srinagar has issued pre-cognizance notice to accused persons for appearance on 28 February 2026.
Further investigation is in progress to trace remaining Proceeds of the crime and take action against the remaining culprits, the ED added.