Indian Court Orders Takedown of 38 Scam Websites Using Mudrex’s Name

Mudrex won a Delhi High Court order to take down 38 websites using its brand for scams.
The estimated loss from these scams could exceed $50,000, with up to 1,000 victims.

Indian cryptocurrency exchange Mudrex has secured a Delhi High Court order to take down 38 websites falsely using its brand for fraudulent activities. The court directed India’s Ministry of Communication to act on the order within a week, aiming to curb the ongoing scams that have duped numerous retail investors.

Mudrex sought legal intervention after receiving complaints from around 15 victims who reported being scammed by individuals impersonating Mudrex employees on Telegram. These scammers promised rewards and job opportunities in exchange for tasks like writing Google reviews, further using fake websites to solicit illegal investments from the public.

"We estimate the actual number of retail investors scammed could be 1,000, and the estimated loss could be in excess of about $50,000," said Mudrex CEO and co-founder Edul Patel.

Despite filing a police report in Bengaluru on March 23, the scams continued, prompting Mudrex to escalate the matter to the High Court.

Amit Rangari, Mudrex’s legal head, noted that this legal action was initiated well before the recent high-profile WazirX hack, which saw $234 million in customer funds stolen. Rangari emphasized the urgency of the situation, stating that, "the only way we can get [action] is if we had a High Court order."

With this court victory, Mudrex aims to reassure investors and strengthen its efforts to combat fraud in the cryptocurrency sector. Patel expressed optimism that this legal win would bolster confidence among Indian retail investors despite recent setbacks in the industry.

Edited by Harshajit Sarmah