Court Upholds Detention of Man Charged in $7.5M Cryptocurrency Scam

On Friday, March 1, 2024, the US District Court for the Western District of North Carolina upheld a magistrate judge’s decision to detain a man charged with international wire fraud and money laundering.

Chirag Tomar, a citizen of India, was arrested on December 20, 2023, when he entered the United States on a tourist visa. He is accused of being involved in a scheme that defrauded over 500 victims out of more than $7.5 million. According to court documents, Tomar conspired with others to operate a cryptocurrency investment scam.

Prosecutors allege the conspiracy misdirected victims to fake websites appearing to belong to the legitimate cryptocurrency trading platform Coinbase. The websites allegedly tricked people into providing login credentials, allowing the conspirators to access and drain cryptocurrency accounts. Funds were allegedly transferred to accounts connected to Tomar’s email address and phone number. One account associated with Tomar held over $4 million stolen from victims.

At a December 29, 2023, detention hearing in the Northern District of Georgia, a magistrate judge ordered Tomar to be detained pending trial. Evidence presented included search warrant returns linking Tomar to a Gmail account used in the scheme, as well as call logs and documents found on the account containing victim information.

Tomar filed an appeal challenging his detention. However, in its ruling, the District Court for the Western District of North Carolina denied Tomar’s request for release. The court conducted an independent review of the evidence and found the magistrate judge’s factual findings and legal conclusions to be correct. Due to the seriousness of the charges and Tomar’s lack of ties to the US, the court agreed there are no release conditions that could reasonably assure the safety of the community or guarantee Tomar’s appearance at trial. Tomar will remain in custody as he awaits further legal proceedings.

Please contact BlockTribune for access to a copy of this filing.