A recent investigation by law enforcement agencies in India and the US led to the seizure of $150 million in crypto assets linked to an international drug network.
International Drug Network Uncovered
The case began in 2022 when the US Department of Justice reached out to India under the treaty on mutual legal assistance in criminal matters. Investigators were tracking a drug trafficking operation run by two brothers who used encrypted communications and cryptocurrency wallets to distribute fentanyl, heroin, and other narcotics. It was revealed that the brothers controlled over 8,500 bitcoins, valued at around $150 million, which were being funneled into laundering and financing their operations.
Cracking Down on Crypto Crimes
According to the FATF handbook, this case exemplifies real-time international cooperation. India has implemented new systems under the Prevention of Money Laundering Act (PMLA) to make cross-border assistance faster and more structured. New online portals now allow quicker coordination with partner countries, similar to systems in the UK and Argentina.
Significance of International Cooperation
The joint operation occurs amidst a surge of crypto-related investigations at home. Recently, the ED raided 11 locations in Delhi, Noida, Gurugram, and Dehradun in connection with a ₹260 crore crypto scam, where fraudsters posed as tech support agents for global firms. Furthermore, a parliamentary committee raised concerns over cryptojacking, where hackers hijack personal devices to mine crypto. These events reflect the growing reality that while crypto assets present new opportunities, they also fuel crimes that demand faster and sharper global coordination.
India-US cooperation and successful crackdowns against crypto crimes serve as evidence that international coordination is becoming a critical factor in combating transnational threats.
