2024

when

WazirX

With their patience running thin, hundreds of WazirX investors are now planning to file multiple police complaints against WazirX exchange owners in India for fraud and breach of trust, after they failed to return investor funds. 
According to investors of WazirX exchange, who collectively lost over Rs 2000 crore in a hack incident on July 18, the exchange owners have locked their funds for over a month now, suspending all withdrawals. 
With no recourse in sight, a collective group of WazirX victim investors are now planning to file at least 200 first information reports (FIRs) in different police stations of India against the WazirX directors Nischal Shetty and Sameer Mhatre, Binance exchange and Liminal Custody security firm. 
The charges to be brought forward by the investors in their complaint are dishonest misappropriation of property, fraud, negligence, cheating and criminal breach of trust under various sections of the Bharatiya Nyaya Sanhita (Indian Penal Code) and the Information Technology Act. 
As per the legal process in India, a complainant first submits a complaint copy to the local police station where the police evaluates the content and then files an FIR against the accused parties. 
Spearheading this campaign is @indiascrypto- an anonymous Twitter handle that is collectively voicing the concerns of <a href="https://www.cryptotimes.io/2024/08/12/thousands-of-wazirx-hack-victims-unite-on-x-space-for-justice/" target="_blank" rel="noreferrer noopener">WazirX investors</a>. The twitter handle has also provided a <a href="https://t.me/justiceforwazirxusers" target="_blank" rel="noreferrer noopener nofollow">draft copy</a> of the police complaint to the investors on Telegram. 
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
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 <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
 FIR complaint draft against <a href="https://twitter.com/hashtag/WazirX?src=hash&amp;ref_src=twsrc%5Etfw" target="_blank" rel="noopener">#WazirX</a>, <a href="https://twitter.com/binance?ref_src=twsrc%5Etfw" target="_blank" rel="noopener">@binance</a> and <a href="https://twitter.com/liminalcustody?ref_src=twsrc%5Etfw" target="_blank" rel="noopener">@liminalcustody</a> Go to telegram <a href="https://t.co/J3BRUW4Rui" target="_blank">https://t.co/J3BRUW4Rui</a> and access the editable draft. Modify it as needed and submit it to the nearest police station. For any doubts, join our Space on Sunday at 1 PM. We need at least 200 FIR… <a href="https://t.co/iseW4HBgYE" target="_blank">pic.twitter.com/iseW4HBgYE</a>— Justice for WazirX Users (@IndiasCrypto) <a href="https://twitter.com/IndiasCrypto/status/1824323373624619284?ref_src=twsrc%5Etfw" target="_blank" rel="noopener">August 16, 2024</a>
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The investors are also holding a space discussion on Twitter on Saturday to discuss their future course of action. 
<h2 class="wp-block-heading" id="what-are-the-grievances-of-investors-in-the-police-complaint-copy">What are the grievances of investors in the police complaint copy?</h2> 
The police complaint draft prepared by @indiascrypto handle shows that they were driven to invest in WazirX exchange due to their aggressive marketing campaigns and promises of a secure and safe trading environment. The draft further states that WazirX had claimed in the past that they have been acquired by Binance however there is a lot of obfuscation from both parties regarding the deal.&nbsp; 
The draft also states that both Liminal Custody and WazirX have been playing <a href="https://www.cryptotimes.io/2024/08/14/wazirx-finally-ends-terms-with-liminal-custody-moves-funds/" target="_blank" rel="noreferrer noopener">blame games</a>, trying to shift the burden of owing up to<a href="https://www.cryptotimes.io/2024/08/13/wazirx-hack-mystery-the-pi42-link-of-liminals-gupta-wazirx/" target="_blank" rel="noreferrer noopener"> negligence</a> that led to the hack on July 18. 
<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow"> 
 “It is clear that WazirX was negligent in safeguarding user funds and implementing reasonable security to protect financial data of the users which has resulted in serious loss for the users. WazirX has also suspended trading and misled investors regarding when they can withdraw their funds,” read the complaint draft. 
 Also Read: <a href="https://www.cryptotimes.io/2024/08/15/heres-why-wazirx-keeps-delaying-withdrawal-of-investor-funds/" target="_blank" rel="noreferrer noopener">Here’s Why WazirX Keeps Delaying Withdrawal Of Investor Funds</a> 
</blockquote>

Hundreds of WazirX Investors to file police complaints against exchange

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The Crypto Times

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