Mahendra Pratap Srivastava Vs State of U.P. (Allahabad High Court)
The Allahabad High Court has rejected a petition filed by Mahendra Pratap Srivastava, also known as ‘Zoom Baba,’ seeking to quash a First Information Report (FIR) registered against him in connection with the Ruby Coin cryptocurrency fraud. The FIR alleges Srivastava’s involvement in cheating and inducing investors to invest in the fraudulent scheme.
Srivastava, who was engaged as a trainer to educate members of the Ruby Coin Community about blockchain and cryptocurrency, argued that he was not involved in any financial transactions and had no knowledge of the alleged fraud. He also claimed to have resigned from his position due to personal difficulties and health issues. However, the court found evidence suggesting his deeper involvement.
The State, through the Investigating Officer, presented instructions indicating that Srivastava was a board member of the Elite Club and actively participated in inducing the public to invest in Ruby Coin. Specifically, he conducted “Zoom” meetings with potential investors, using his expertise to persuade them to invest. His role in these meetings led to him being referred to as “Zoom Baba” by other board members.
The court, after examining the FIR and the instructions provided by the Investigating Officer, concluded that a cognizable offense was made out against Srivastava. Therefore, the court found no grounds to interfere with the FIR and dismissed his petition. This ruling highlights the court’s stance against individuals involved in cryptocurrency frauds, particularly those who use their expertise to deceive investors. It demonstrates that individuals who play a role in inducing investments, even if claiming to be mere trainers, can be held liable for their actions.
