Podcast | How not to make money
Raj Kundra interrogated by ED in connection with BitCoin scam, but the “hero” of this story, Amit Bhardwaj, now behind bars, is a cautionary tale
To a large section of the Indian population, his reputation may just be that he is the husband of actress Shilpa Shetty, but Raj Kundra is a businessman in his own right and at one point one of the richest British Asians. Kundra is also no stranger to controversy, and this time around, his name is attached to a hot new controversy involving the hot new thing in technology, cryptocurrency. Our Pick of the Day today is the news item involving the item girl’s husband and the ‘It’ product that is Bitcoin. Shilpa Shetty may have “looted UP and Bihar,” but did her husband play a role in a Bitcoin scam of over 2000 crore rupees? Who is Amit Bhardwaj? What is Hash Mining?
Why Was Raj Kundra Summoned by the ED?
Raj Kundra, one-time co-owner of IPL team Rajasthan Royals and now forever banned from cricket, is in the news yet again, and yet again, it is not for the most savoury of reasons. On Tuesday, that is yesterday, 5th of June, the Enforcement Directorate interrogated Kundra for over ten hours as a “witness” in connection with a money-laundering probe involving Bitcoin transactions amounting to more than 2000 crore rupees. Bitcoin and other cryptocurrencies, let us remind you, are not legal tender in India and are not recognised as a medium of exchange – something Finance Minister Arun Jaitley reiterated in the annual budget. Kundra was being interrogated for his alleged dealings with Amit Bhardwaj, who was arrested two months ago in Delhi and is known for being a kingpin of sorts in the cryptocurrency market in India and overseas. But more on Amit Bhardwaj in just a bit.
A source at the ED told Moneycontrol, “We suspect certain Bitcoin transactions between the main accused Amit Bhardwaj and Raj Kundra. And we are investigating Kundra to ascertain if he has gained anything from it. Raj Kundra and Amit Bhardwaj might have some links in Hash mining for Bitcoin in China.”
After emerging from the ED, Kundra spoke to the press and shared a few details about his association with Bhardwaj. Kundra who runs a poker league said, “ED called me as a witness. There’s an Amit Bhardwaj, who’s involved in some scam. He had purchased a poker team from our poker league but didn’t make payment so we expelled his team. I’ve given my statement.” Kundra also said that Bhardwaj wanted to pay for the poker team in Bitcoin, which was not accepted, and his team was eventually expelled. “We thought he was a respectable person so we allotted him a team. His contract was terminated after he failed to make the payments,” he said.
Perhaps because of the Bollywood connection, or perhaps because nefarious dealings have once touched him in the past, the media have been going at this story with the expected enthusiasm. Kundra, however, is not amused. “Genuinely upset by the irresponsible journalism in India! You make scandals out of the smallest story without checking facts! Takes years to build reputations and you shake them up in minutes! Again I reiterate I was called as a witness today and have done the needful!” he wrote on Twitter.