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Karnataka govt refers drug, bitcoin scam probe to ED, CBI

Former Karnataka chief minister and Congress leader Siddaramaiah alleged that politicians and officials were involved in a Bitcoin scam in the state and that the investigation agencies are trying to safeguard them.

ANI | Bengaluru |

The Karnataka Government has referred ‘drugs and bitcoin scam’ to the Enforcement Directorate (ED) and Central Bureau of Investigation (CBI) because of the international nature of transactions.

Karnataka Chief Minister Basavaraj Bommai on Friday said, “Officials have conducted an enquiry. Karnataka government had filed the case in 2020 and we’ve completed the investigation in 3 cases and they have been charge-sheeted.”

Bommai further stated that his government has launched a crackdown on drugs, bitcoin and online gaming in the state.

“The case further referred to ED, CBI because of international nature of transactions. So there is nothing to hide. I have raised a war on drugs, bitcoin and all these online gaming,” said Karnataka CM.

Earlier on Thursday, former Karnataka chief minister and Congress leader Siddaramaiah alleged that politicians and officials were involved in a Bitcoin scam in the state and that the investigation agencies are trying to safeguard them.

Meanwhile, state Congress chief DK Shivakumar claimed that it took place on a large scale and said that it is shocking to hear the names of police officers, political leaders and businessmen in the scam.

“The bitcoin scandal has taken place on a large scale, with big names being heard in the scam in Karnataka. I have been trying to collect information. It is shocking to hear the names of police officers, political leaders and businessmen,” he told reporters here on Thursday.

Notably, these allegations come ahead of by-polls scheduled in Karnataka in two constituencies.