Crypto Trader Abducted and Robbed of Rs 90 Million in Karachi

A prominent crypto trader from Karachi, Arsalan Malik, was abducted and robbed of approximately Rs 90 million on December 25^th , 2024. The perpetrators, allegedly posing as police officers, executed the crime using a police mobile vehicle, raising serious concerns about security in the crypto community.

Arslan Malik, a well-known figure in Pakistan’s cryptocurrency sector, was reportedly kidnapped from his office in Manghopir by five people dressed in plain clothes claiming to be police officers. They blindfolded him, drove him to Saddar’s Passport Office, and threatened him with a gun. They forced him to transfer $340,000 (more than Rs 90 million) to various accounts via his mobile phone, emptying his wallet of Rs 8,000, and resetting his phone before abandoning him near Mazar-e-Quaid.

Four people were identified in the report submitted to the authorities by Malik; Muzzamil, Hamad, Ashir, Zaman and an unidentified accomplice. The police have lodged an FIR under sections 365-A (Kidnapping for ransom) and section 34 (Common intention) and then the Sindh police has handed over the case to the Anti-Violent Crime Cell (AVCC).

Security cameras installed in the housing society in which Malik has his office show the movement of the police mobile. The police have traced the movements of the mobile and recovered some evidence implicating the suspects. According to Malik, the assailants had previously approached him for cryptocurrency transactions, which he had declined.

Malik expressed frustration with the media’s coverage of the incident, stating, “I didn’t want this to be disclosed.” Addressing allegations of fraudulent investment activities, he maintained, “If anyone claims I took their money, let them present proof. I’ve never taken money from anyone.”

Despite the significant loss, Malik remains optimistic, citing his faith in divine intervention. “Whatever happens, happens by the will of Allah. If this were the worst moment of my life, I would have been gone, but Allah had better plans for me,” he said.

The incident has sparked intense reactions within the crypto community. Fellow trader Umair urged solidarity, emphasizing the potential risks faced by all industry participants. “If these allegations are true, it could happen to anyone,” he said, calling for serious discussions on security rather than internet ridicule.