Indian government officials are cracking down on cryptocurrency companies. Especially service providers which are deemed potentially fraudulent are of great interest. Ambidant Marketing and Investment is one of those companies under a lot of scrutiny. The father-and-son team offered “faked” halal investment opportunities to attract wealthy Muslims.
The Ambidant Marketing Ploy
Operated by Syed Fareed and Syed Afaq Ahmed, Ambidant Marketing has attracted a lot of attention. Father and son offered fake halal investment opportunities to other Muslims. Investing under Islamic Law is a touchy subject. By definition, it is not allowed to invest in something to obtain profits. If the opportunity is deemed halal, however, that outlook may change.
Ambidant Marketing claimed to offer such investment opportunities. The company is responsible for allegedly buying cryptocurrencies. Bitcoin is halal in some parts of the world, albeit its situation in India remains unclear. In the eyes of the government, it is not a tool consumers should get involved with. That puts any venture pertaining to cryptocurrencies on India’s radar first and foremost.
Other aspects of Ambidant Marketing confirmed the company was not legitimate. The firm paid out high returns every single month. Such a payment schedule is not sustainable, especially not with volatile cryptocurrencies. The monthly payouts diminished quickly until no further payments were made to investors. That status quo is still in place today.
Investment Opportunities Need to be Scrutinized
In the cryptocurrency world, there is no such thing as easy money. Any company claiming otherwise is usually a fraudulent project. For Ambidant Marketing, keeping its crypto investments hidden from investors is not a smart idea. Especially since the Indian government has always looked down upon this form of money.
Local sources claim the company received a notice about its crypto investments earlier this year. This is what caused the payouts to investors to dry up eventually. Whether that is indeed the case, remains unclear at this point. Given the high returns promised by the company, a so-called “exit scam” was all but inevitable. They seemingly paid attention to cryptocurrency because it was such a hot trend in late 2017 and early 2018.
For affected investors, getting their money back may prove complicated. Since most of them never received any payments, it is safe to say the money is gone. An official investigation is still underway, by the look of things. Putting an end to scams like these is of the utmost importance. Especially in India, fraudulent crypto-related offerings are all too common these days.
What can be done to stem the tide of crypto investing scams? Will it get worse before it gets better? Let us know in the comments below.
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