bank account freeze by cyber crime after trade in localbitcoins

[eaLiTy]

Secondly, if the account is freezed for investigation by the police, then the chance is very little that you will get back your account ever in your life! So if the amount is small, it's better to forget about it. Otherwise, hire a lawyer and file a court case as well as involve consumer protection forum into that. That's the only way you will get back your account.

He will get his account back, once they froze the account because of illegal activities they will ask you to present yourself for questioning and if you could give them the proper answer and provide the proof of transaction which the OP can very well submit the details from his local bitcoin account and then you will not get into trouble, but he will not get the amount credited through hacked account.

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[stompix]

He will get his account back,

Why are you so sure?

once they froze the account because of illegal activities they will ask you to present yourself for questioning

Have you read what the Op said? that is exactly what is NOT happening!

and then you will not get into trouble,

Again, how do you know that?

but he will not get the amount credited through hacked account.

What hacked account? Whoever said anything of a hacked account?

Generally, these types of cases only happen when the person has exhausted the annual limit stipulated by the central bank, commercial banks are unlikely to be scrutinizing each customer's account unless they are customers who move a lot of money.

If that might be the case for the OP, then he will have to deal with another headache even if the gets away and recovers his account.
He will have to file all that as gains for trading and pay tax on income now that he has had an investigation on those funds, if it is not and the sum is small he might be indeed better simply forgetting about it.

[NotFuzzyWarm]

A perfect example of governmental asset seizure abuse was in the UK in 2009
As for recovering your assets well, " Many have struggled to recoup their money and possessions, been forced into legal trench warfare with police lawyers and told they must prove how they came by the contents of their boxes. " says it all...

[Melloiga]

One thing I wanted to ask you OP. Did you sell by posting a trade advertisement or just accepted seller/s offer and sold bitcoins through that? Also, did you check the traders on LBC, are they still actively trading or one of them hasn't been online in some time?

[jo_looser1]

One thing I wanted to ask you OP. Did you sell by posting a trade advertisement or just accepted seller/s offer and sold bitcoins through that? Also, did you check the traders on LBC, are they still actively trading or one of them hasn't been online in some time?

I have done trades with listed ads. Means i sell btc from my mining income with listed ads. Mostly small amounts as i withdraw from cloud mining contracts. I preferred ads with trade history of minimum 1000 trades with 100% good reviews. Also trade volume is not huge . Majority of them are active now. By the way i have stopped trading in lbc and moved to exchange. Zebpay and unocoin are available right now. I thought they are not providing services like changing btc into fiat.  By the way they are working fine now and plan to leave peer to peer platforms and they are not feeling safe. Also amount is my bank is not a big amount. So i plan to call bank manager frequently and wait for an update from my bank instead of spending a lot to lawyers .  

[Melloiga]

I have done trades with listed ads. Means i sell btc from my mining income with listed ads. Mostly small amounts as i withdraw from cloud mining contracts. I preferred ads with trade history of minimum 1000 trades with 100% good reviews. Also trade volume is not huge . Majority of them are active now. By the way i have stopped trading in lbc and moved to exchange. Zebpay and unocoin are available right now. I thought they are not providing services like changing btc into fiat.  By the way they are working fine now and plan to leave peer to peer platforms and they are not feeling safe. Also amount is my bank is not a big amount. So i plan to call bank manager frequently and wait for an update from my bank instead of spending a lot to lawyers .  

Good to know that the amount was not big and you're not worried about it. But I still wish you all the best and I hope you get your account and money back minus the transaction which went bad. Please do not stop pursuing this because all accounts are now linked with PAN and Aadhar and it is not very difficult for authorities to track them.

You say that the many of them are still active. Check the non-active ones and see if you can find out something. Read negative reviews left to all of them and see if someone else reported something about charge-back or stuff like that.

And if you do happen to find out the culprit who did this. Kindly, let us all know. So, we can avoid them.

As the saying goes 'One bad Fish spoils the whole Pond', action of one bad trader will affect so many others and even the rating of the platform.

[Findingnemo]

One thing I wanted to ask you OP. Did you sell by posting a trade advertisement or just accepted seller/s offer and sold bitcoins through that? Also, did you check the traders on LBC, are they still actively trading or one of them hasn't been online in some time?

I have done trades with listed ads. Means i sell btc from my mining income with listed ads. Mostly small amounts as i withdraw from cloud mining contracts. I preferred ads with trade history of minimum 1000 trades with 100% good reviews. Also trade volume is not huge . Majority of them are active now. By the way i have stopped trading in lbc and moved to exchange. Zebpay and unocoin are available right now. I thought they are not providing services like changing btc into fiat.  By the way they are working fine now and plan to leave peer to peer platforms and they are not feeling safe. Also amount is my bank is not a big amount. So i plan to call bank manager frequently and wait for an update from my bank instead of spending a lot to lawyers .  

Still you are making from cloud mining.

Even you need bank account to convert the bitcoins to fiat in exchanges so this will not solve your issue, better find alternative payments to bank mode until the issues get resolves.

[AnonBitCoiner]

Actually you was unlucky and one of my friend in India was trading more than 500$ every week and he was not captured yet.So it was a random capture.And you should use of private to the transaction of cryptocurrency.Now bitcoin and cryptocurrency was a legal one.So you should go again and ask a bank .

[Mahanton]

One thing I wanted to ask you OP. Did you sell by posting a trade advertisement or just accepted seller/s offer and sold bitcoins through that? Also, did you check the traders on LBC, are they still actively trading or one of them hasn't been online in some time?

I have done trades with listed ads. Means i sell btc from my mining income with listed ads. Mostly small amounts as i withdraw from cloud mining contracts. I preferred ads with trade history of minimum 1000 trades with 100% good reviews. Also trade volume is not huge . Majority of them are active now. By the way i have stopped trading in lbc and moved to exchange. Zebpay and unocoin are available right now. I thought they are not providing services like changing btc into fiat.  By the way they are working fine now and plan to leave peer to peer platforms and they are not feeling safe. Also amount is my bank is not a big amount. So i plan to call bank manager frequently and wait for an update from my bank instead of spending a lot to lawyers .  

Its just dumb to spend up even more money by calling out some lawyers if the amount been talking on here isnt really that big.Any updates on this op?

This is my first time hearing up for bank freeze just because its being mandated with cybercrime division but actually it isnt really surprising for government to do such actions when they do saw some fraudulent activity.Its hard to oppose when you cant verify those people you've been trading off in LBC.

You wont have any choice but to wait up for the final investigation and keep posted or updated with the bank.

[Findingnemo]

One thing I wanted to ask you OP. Did you sell by posting a trade advertisement or just accepted seller/s offer and sold bitcoins through that? Also, did you check the traders on LBC, are they still actively trading or one of them hasn't been online in some time?

I have done trades with listed ads. Means i sell btc from my mining income with listed ads. Mostly small amounts as i withdraw from cloud mining contracts. I preferred ads with trade history of minimum 1000 trades with 100% good reviews. Also trade volume is not huge . Majority of them are active now. By the way i have stopped trading in lbc and moved to exchange. Zebpay and unocoin are available right now. I thought they are not providing services like changing btc into fiat.  By the way they are working fine now and plan to leave peer to peer platforms and they are not feeling safe. Also amount is my bank is not a big amount. So i plan to call bank manager frequently and wait for an update from my bank instead of spending a lot to lawyers .  

Its just dumb to spend up even more money by calling out some lawyers if the amount been talking on here isnt really that big.Any updates on this op?

This is my first time hearing up for bank freeze just because its being mandated with cybercrime division but actually it isnt really surprising for government to do such actions when they do saw some fraudulent activity.Its hard to oppose when you cant verify those people you've been trading off in LBC.

You wont have any choice but to wait up for the final investigation and keep posted or updated with the bank.

This is just normal if you are trading on paxful and LBC, not really a big surprise but I am surprised with the way of investigation here.Banks won't tell anything, and there will be no other questions just the freeze of his/her account looks strange to me.

[oprahwindfury]

In that case,the bank has this power to fix it.Keep patience and wait  for the bank update.Additionally, keep contract with bank manager And wish it would be solved very soon.just make sure to remind about your issue politely.

[Harlot]

I'm wondering why you have to find out your account was locked/frozen from the bank manager if it is related to fraudulent activities. Since if it was part of an investigation of any crime involved wouldn't the police or authorities be the one knocking down on your doors saying that you are involved in a crime? They must be the ones questioning you or at least lock you up since you are accused of doing the crime so I don't know why they are just doing the investigation by themselves without you being involved in any kind of query.

[stompix]

I'm wondering why you have to find out your account was locked/frozen from the bank manager if it is related to fraudulent activities. Since if it was part of an investigation of any crime involved wouldn't the police or authorities be the one knocking down on your doors saying that you are involved in a crime? .

No, real life is not like movies, especially in some countries.
The situation happens times after times and if you read around other forums especially dedicated to money transfers you will realize that the huge numbers of cases when police suspect transactions of being involved in money laundering is making private questioning of each individual almost impossible, they simply don't have the manpower for it.
So most of the cases are either getting solved by the owner when he comes and provides everything he needs himself or via his lawyer, by simply abandoning the money and let them rot in that account or if nothing is further linked from that account to something major by a simple unlock in which they will not even bother to tell you what happened.

The whole police coming at your door and taking you to question will only happen if you're involved in something major and you're already a suspect and they are afraid you might destroy evidence of further illegal stuff or you have lots of accomplices, for a few thousand dollars all you get is a file in a forgotten cabinet.

[eaLiTy]

He will get his account back,

Why are you so sure?

I went through the same process because i got funds from hacked accounts.

once they froze the account because of illegal activities they will ask you to present yourself for questioning

Have you read what the Op said? that is exactly what is NOT happening!

If you are doing transactions through P2P you cannot definitively identify the source of funds and the sender are the same individual and you might receive funds from hacked bank and UPI transactions. I never said the OP knowingly did any illegal activities but if you are receiving funds from hacked bank accounts then you will be booked and you need to explain what really happened to the investigating agency.

and then you will not get into trouble,

Again, how do you know that?

I explained that earlier, i received funds from hacked account while trading P2P back in 2015/ 2016 and the investigation reached me around 2017 if i remember correctly and hence i explained the procedure.

but he will not get the amount credited through hacked account.

What hacked account? Whoever said anything of a hacked account?

As explained earlier, he might have received funds from hacked bank account and hence his account is frozen and he will be asked to report for questioning by the investigating agency on how he got the funds.
 

[TalkStar]

If you are doing transactions through P2P you cannot definitively identify the source of funds and the sender are the same individual and you might receive funds from hacked bank and UPI transactions. I never said the OP knowingly did any illegal activities but if you are receiving funds from hacked bank accounts then you will be booked and you need to explain what really happened to the investigating agency.

Investigating agencies have their right to take proper explanation from the account holder who got the money from hacked bank account and its a part of investigation. I don't think anyone need to worry for that if he have confidence that he is clean or haven't done anything wrong. In a situation like this its better to cooperate with investigation team and giving proper information which will help investigators to detect actually what happened.

[Findingnemo]

If you are doing transactions through P2P you cannot definitively identify the source of funds and the sender are the same individual and you might receive funds from hacked bank and UPI transactions. I never said the OP knowingly did any illegal activities but if you are receiving funds from hacked bank accounts then you will be booked and you need to explain what really happened to the investigating agency.

Investigating agencies have their right to take proper explanation from the account holder who got the money from hacked bank account and its a part of investigation. I don't think anyone need to worry for that if he have confidence that he is clean or haven't done anything wrong. In a situation like this its better to cooperate with investigation team and giving proper information which will help investigators to detect actually what happened.

Even if we didn't commit any illicit activities still we are the one received the money finally so we are the one who hacked the money from that person's bank account.Sometimes laws sucks and this saves the criminals and let the innocents to face the punishments.

[aioc]

Better contact a legal advisor in your country to get better advice regarding how to handle this issue.

This is the best solution to your issue, it's better to contact a legal advisor than wait for them to resolve the issue on their own, you can present your written arguments and evidences so it will help your case to resolve.

I read that Cryptocurrency trading is ban in India maybe they are having a crackdown or some sort so you should present your arguments with the help of a lawyer.

[Clement Kaliyar]

I read that Cryptocurrency trading is ban in India maybe they are having a crackdown or some sort so you should present your arguments with the help of a lawyer.

There is no trading ban in India and all the exchanges are running smoothy despite the occasional fake news coming out about a complete ban. Here is this situation what he has to do is to if the bank authorities are delaying in sorting out his issue with the account he can approach the ombudsman and they will investigate the issue and sort them.

[Findingnemo]

I read that Cryptocurrency trading is ban in India maybe they are having a crackdown or some sort so you should present your arguments with the help of a lawyer.

There is no trading ban in India and all the exchanges are running smoothy despite the occasional fake news coming out about a complete ban. Here is this situation what he has to do is to if the bank authorities are delaying in sorting out his issue with the account he can approach the ombudsman and they will investigate the issue and sort them.

After reading others comments it looks like there will be no solution to this case for years because that much officials are not worried about their customers.Its unfortunate that we are losing our money to these banksters for no reason and this also the reason for the cryptocurrency evolvement.

[fuzebase]

Hi,

Few days ago my state  bank of India account  was hold with a lien marked 999999. I have contacted with my branch manager and he told that account is  hold by cyber crime due to fraudulent activity and couldn't remove hold without investigation complete. I have traded in localbitcoins few months ago and all trades i have done with verified profiles with more than 1000 trades and reviews. Anyone faced similar issue? is any way to solve it and back my bank account?   I never imagine such an issue because all trades i have done with great profiles listed there with good review.

Thank You

Do you collect KYC informations on your traders? If yes , you should be fine.