Bitcoins legal or illegal? Supreme Court asks Centre

New Delhi: The Supreme Court on Friday asked the Centre to make its stand clear on whether cryptocurrency trade involving Bitcoin or any other such currencies is legal in India or not.

A bench of Justices DY Chandrachud and Surya Kant, which was dealing with a case related to the quashing of multiple FIRs registered against one Ajay Bhardwaj and others for allegedly duping investors across India by inducing them to trade in Bitcoin and assuring them high returns, said that the accused were booked for their involvement in Bitcoin trade.

The bench told Additional Solicitor General Aishwarya Bhati, appearing for Centre and Enforcement Directorate, "We want you to tell us on affidavit whether cryptocurrency trade involving Bitcoin or any other such currencies is legal in India or not? What is the regime for Bitcoin trade at present?" Bhati said she would file an affidavit on the legality of the cryptocurrency trade and added that the accused, who is seeking quashing of proceedings, has not been cooperating with the investigating agency after being granted bail by the court in 2019. She said that 47 FIRs have been registered against the accused of duping people across the country and the issue involves a trade of 87,000 Bitcoin worth Rs 20,000 crore.

The bench ordered, "We direct the petitioner to appear before the investigating officer of Directorate of Enforcement within two days and thereafter cooperate with the investigation as and when called upon to do so. The investigating officer shall file a fresh status report before this court on or before four weeks, indicating the progress of the investigation and whether there has been any cooperation on the part of the accused. List after four weeks". The bench said the ad-interim order restraining the arrest of Bhardwaj shall continue till the next date of listing of the matter. At the outset, Advocate Shoeb Alam, appearing for one of FIR informant Vipin Kohli, said that he has filed an application seeking cancellation of bail granted to Bhardwaj on the ground that he has not disclosed true facts of the matter to this court and concealed material in his writ petition thereby misleading this court.