Bitcoin Heist: ED's statewide search includes house of Cong MLA’s sons

The Enforcement Directorate (ED) on Monday conducted wide-ranging search operations at multiple premises across Karnataka, including those linked to MA and OM Nalapad, sons of Bangalore Development Authority (BDA) chairman NA Harris.

The searches were conducted under the provisions of the Prevention of Money Laundering Act (PMLA) in connection with a cryptocurrency-related money laundering case involving Srikrishna, alias Sriki, among others.

The search operations followed FIRs and chargesheets filed by the Karnataka Police alleging offences such as hacking of national and international websites, bitcoin theft, extortion, and violation of the Narcotic Drugs and Psychotropic Substances Act.


The ED investigation revealed that websites and wallets were hacked to steal virtual digital assets (VDAs), funds, and data. The stolen VDAs would be sold through crypto trading platforms and the proceeds routed through multiple bank accounts to conceal the transactions.

The search included the residence of Haris’ sons. A senior Congress leader, Haris represents Shantinagar constituency in the state assembly. The ED investigation alleges that the Nalapads are close associates of Sriki and main beneficiaries of the proceeds of crime.

The bitcoin case made headlines five years ago after the Bengaluru City Police filed a chargesheet before a local court naming Sriki and others as the prime accused.

Back then, Congress lawmaker Priyank Kharge, as an Opposition leader, had sought to corner the BJP regime over this.

The Bengaluru police had got wind of the bitcoin heist while investigating a case related to drug peddling in Karnataka, about six years ago.