The Supreme Court of India has rejected a plea filed by 54
users of WazirX, who lost funds in a cyberattack reported to be worth ₹2,000 crore. The court
ruled that it was not the appropriate forum to handle the matter. It advised
the petitioners to approach the Union Government and financial regulators
instead.
This decision comes as a major setback for the affected
users, who had hoped the top court would order urgent action. The case now
moves out of the courts and into the hands of government bodies. These include
the Reserve Bank of India (RBI), the Securities and Exchange Board of India
(SEBI), and the Central Bureau of Investigation (CBI), Coinpedia reported.
Investors Claim ₹4,500
Crore Losses in WazirX Hack
The
cyberattack took place in July 2024. Since then, the users have tried
several legal channels. They first approached lower courts and then the Delhi
High Court. When those efforts failed, they turned to the Supreme Court.
Some petitioners have alleged negligence by WazirX’s
leadership, including co-founder Nischal Shetty. A few even claim that the
total loss may be closer to ₹4,500
crore. These claims have not been independently verified.
BREAKING: 🇮🇳 Supreme Court of India registers criminal petition against WazirX over Rs 2000 crore hack. Here’s what you need to know: 🧵 pic.twitter.com/R4MDDCv2d0
— Crypto India (@CryptooIndia) April 16, 2025
Adding to the uncertainty is an ongoing dispute between
WazirX and Binance. The two companies disagree over who owns and controls the
exchange. This has further complicated efforts to recover the missing funds.
You may find it interesting at FinanceMagnates.com: WazirX
Didn’t Insure Customers’ Funds: Plans to Lock 45% Assets of ‘All Users’.
Supreme Court Rejects WazirX Victims’ Requests
The Supreme Court bench, led by Justice B.R. Gavai and
Justice Augustine Masih, said that issues linked to cryptocurrencies are part
of government policy. According to the bench, courts cannot intervene directly
in such matters. The judges advised the users to submit their concerns to the
relevant authorities.
3⃣ Who’s Involved? The petition targets big names: Union of India, RBI, SEBI, FIU-India, NIA, CBI, SFIO, WazirX/Zanmai Labs, Nischal Shetty, Binance Holdings, and Liminal Custody. This is a high-stakes showdown! 🥊 pic.twitter.com/p1zU8UJ62d
— Crypto India (@CryptooIndia) April 16, 2025
The petitioners had requested a special investigation team
to be formed. They wanted this team to include officials from financial and law
enforcement agencies. They also called for a forensic audit of WazirX and the
freezing of its assets. The court declined to act on these requests.
No further hearing has been scheduled. The victims remain
without a clear legal route to recover their money. With no resolution in
sight, the incident continues to raise concerns about the legal and regulatory
response to large-scale crypto crimes in India.
This article was written by Tareq Sikder at www.financemagnates.com.
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