India's Supreme Court Rejects a Petition Filed by 54 WazirX Users Seeking Urgent Action Against the Exchange

In a major blow for crypto investors in India, the Supreme Court has rejected a petition filed by 54 users of the WazirX exchange.

In a significant setback for crypto investors in India, the Supreme Court has dismissed a petition filed by 54 users of the WazirX exchange.

These users were seeking urgent action after losing their funds in a major cyberattack that saw around ₹2,000 crore vanish from the exchange, reports Inc42.

The apex court advised the petitioners to approach the Union Government and financial regulators to report the matter.

The case began in July when WazirX fell victim to a large-scale hack. Reports vary on the total sum stolen, with some estimates ranging as high as ₹4,500 crore.

Following the hack, affected investors engaged local courts and the Delhi High Court but to no avail. Their last hope lay with the Supreme Court.

However, the Supreme Court bench, comprising Justices BR Gavai and Augustine Masih, pointed out that this isn’t the proper forum to decide on issues arising out of cryptocurrencies.

Noting that crypto falls under government policy, the apex court advised the petitioners to approach the Union of India and other bodies like RBI, SEBI, and the CBI in this regard.

The court also allowed the victims to knock on the doors of these authorities for adjudication of their claims. But the apex court didn’t fix any new hearing date or provide clear instructions on what should happen next.

The users had requested a special investigation team involving major financial and investigative bodies to look into WazirX and its operations. They also demanded a full audit of the company’s accounts and for WazirX’s assets to be frozen to stop further losses.

However, with no action being taken on any of these demands yet and nearly ₹2,000 crore still unaccounted for, users are left in limbo.