TL;DR:
- India’s Enforcement Directorate detained Nihal V.N., a resident of Dubai, on charges under the Prevention of Money Laundering Act.
- Investigations linked illicit narcotics funds converted into cryptocurrencies with networks in Brazil and Thailand.
- Previous operations across 26 properties led to the seizure of nearly 3 crore rupees in cash and various digital devices.
As part of the investigation into crypto-hawala, India’s Enforcement Directorate detained a resident of Dubai. The accused, identified as Nihal V.N., will face charges under the Prevention of Money Laundering Act (PMLA) after being presented before a court in Goa, which ordered his remand in custody until July 28, 2026.
Links to International Drug Cartels
According to the agency’s report, the detainee operated as a key financial node for transnational networks involved in drug trafficking. Authorities stated that the structure processed cash derived from illicit trade to transform it into digital assets and international currencies.
Information from the investigation suggests that the assets were transferred to suppliers located in Brazil and Thailand. These groups used the funds to finance the shipment of synthetic narcotics into Indian territory.
The agency’s forensic teams detected multiple digital wallets associated with the operating scheme. Furthermore, official documentation indicates the identification of offshore bank accounts and front companies used for capital layering.
National-Scale Operations and Seizure of Evidence
The previous operational phase included simultaneous searches at 26 properties spread across states such as Goa, Maharashtra, Kerala, Tamil Nadu, Karnataka, Odisha, and Delhi. The criminal case originated from a complaint by the Goa Police Anti-Narcotics Cell under the NDPS Act of 1985.
During the interventions, agents seized approximately 3 crore rupees in cash along with documentary evidence and technological equipment. Previously, in connection with this same file, authorities arrested Madhupan SS on January 17, 2026, who remains in judicial custody.
Strategy Against Illicit Financing
The procedure falls within the guidelines of the state initiative “Nasha Mukt Bharat,” aimed at eradicating drug trafficking. In accordance with what was established at the tenth meeting of the National Narco Coordination Portal (NCORD), held on June 26, 2026, priority agencies will apply an approach focused on disrupting the finances of organized crime.
The regulatory body confirmed that it will continue the tasks of tracing and freezing assets linked to these illicit activities. Judicial proceedings remain open to identify other potential beneficiaries of the transnational network.
