In a packed virtual courtroom at the Port Blair Circuit Bench, the Calcutta High Court on Monday made it clear that allegations of large-scale cryptocurrency fraud cannot be brushed aside as mere business fallout. Justice Shampa Dutt (Paul) declined to interfere with an ongoing cybercrime investigation involving Aza Enterprises Private Limited and several individuals accused of siphoning millions of dollars through over-the-counter crypto deals.
The court was dealing with a clutch of revision petitions seeking quashing of an FIR that alleges losses of over USD 10 million - roughly ₹85 crore - suffered by a foreign crypto investment firm.
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Background
The FIR, registered by the Cyber Crime Police Station of South Andaman, stemmed from a complaint filed on behalf of DCI Capital, also described as Dutch Consultants Innovation. The complainant alleged that it was lured into investing in multiple cryptocurrency projects after being promised exclusive access and guaranteed returns.
According to the complaint, initial small transactions were honoured to build trust. Later, larger sums were allegedly routed through private Telegram groups, Dubai meetings, and intermediaries who claimed links with major crypto platforms. Eventually, token deliveries stopped, explanations turned evasive, and the money never came back.
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Aza Enterprises and its directors pushed back strongly. Their counsel argued that there was no written contract, no regulatory clarity on cryptocurrency in India, and that the dispute, at best, was commercial in nature. They also relied on Supreme Court rulings to argue that offences of cheating and criminal breach of trust cannot exist together on the same facts.
Court’s Observations
Justice Dutt took a detailed look at the complaint, the FIR, and the case diary. The court noted that the allegations did not describe a simple failed investment. Instead, they pointed to what the judge described as an “initial facade of legitimacy” created to induce larger investments.
“The materials on record indicate that the accused persons, right from inception, prima facie had the mens rea to cheat,” the bench observed.
On the argument that cheating and criminal breach of trust cannot coexist, the court clarified that this principle does not apply mechanically at the investigation stage, especially where there are multiple transactions and layers of conduct. Calling the case a “mixed bag of facts”, the judge said it would be premature to scuttle the probe.
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The court also rejected the plea that the FIR was a civil dispute dressed up as a criminal case. Given the scale of the alleged losses and the digital trail involved, the bench held that there was an “overwhelming element of criminality” that warranted investigation.
Interfering now, the judge warned, “would amount to an abuse of the process of law.”
Decision
The High Court dismissed all three revision petitions seeking quashing of the FIR and criminal proceedings. While interim protection from coercive action was extended till January 10, 2026, the court directed that passports be handed over to the investigating agency and restrained the accused from leaving the country without court permission. The investigation, the bench clarified, must continue independently and in accordance with law.
Case Title: Aza Enterprises Private Ltd. & Others vs Union Territory of Andaman and Nicobar Islands & Others
Case No.: CRR/33/2025 (along with CRR/34/2025 and CRR/45/2025)
Case Type: Criminal Revision (Quashing of FIR)
Decision Date: 22 December 2025
