From salons to scandal: Jawed Habib’s ₹7 crore crypto controversy

Celebrity hairstylist Jawed Habib, famous for his salon chain across the country and Bollywood clientele, is not only a center of attraction for a financial fraud scam but also is the reason that the beauty and business sectors of India have been disturbed. Habib is reported to have mishandled more than 150 investors and tricked them into a fake cryptocurrency investment plan stealing crores of rupees.

The Scope of the Scandal

As of October 2025, Sambhal police in Uttar Pradesh have registered 23 cases against Jawed Habib, his wife, his son Anas Habib, and their associates for allegedly defrauding investors of ₹5-7 crores. Over 100 families have been impacted by the issue, whereas 38 victims have been traced. The severity of the case was confirmed by Superintendent of Police Krishna Kumar Bishnoi, who said that the accused "operated as a gang" and took money from people for a large amount.

The Follicle Global Company Scheme

It was Habib's wife, who formed a company named Follicle Global Company (FLC), which was the medium of the alleged fraud.

The plan was launched in 2023 at the Royal Palace Venkat Hall in Sambhal with great pomp and show. The approximately 150 people present were promised the returns of 50-75% in a year if they invested in Bitcoin and Binance Coins, with each one putting in ₹5-7 lakh.

At the time, Jawed Habib and his son Anas assured immense profits from the trade of cryptocurrency.

Relying on the celebrity hairstylist's good name, the victims invested their lifetime savings.

How the Fraud Unfolded

At first, everything seemed to be going well, and the credibility was turning up. But, the situation went downhill when the investors who did not get their returns after a year started demanding their money back. Police investigations revealed that the accused closed the company, and fled when the investors came to ask for their money back.

The main operations head of the company, Saifullah Khan, who was the going-to-person for investors, had disappeared with the Habib family. As a result, Mohammad Hilal first FIR was filed, then more such as the ones issued by Rehan and Aman.

Legal Action and Investigation

The cops have stepped up the probe and have filed charges under Section 420 (cheating) and Section 506 (criminal intimidation) of the Indian Penal Code. Additional SP Alok Bhati, who heads the special team, is now carrying out the high-profile case investigation. To prevent the accused from escaping abroad, lookout notices have been activated and the police are also checking out properties in Delhi and Mumbai.

If the information is filed, authorities have sent a warning that they could take control over Habib family's properties under the provisions of Section 107 of the CrPC.

Defence and Denial

Habib's lawyer states that he is not involved in the fraud in any way and that he is falsely implicated. Advocate Pawan Kumar stated that "no FIRs have been registered on JH's name," and he only went there as a "chief guest." He added that Habib had already publicly announced in January 2023 that he was no longer with FLC way before the event.

Present Situation and Continuing Probe

The probe is still ongoing, and the police have not given up looking for the culprits. Jawed Habib is expected to be interrogated but has not yet come. Officers are on a mission to collect the necessary info about the family's properties in various cities and, so, the police will be unraveling this as far as it goes.

Media coverage of the case has been extensive, with numerous social media responses buzzing over it ranging from disbelief to anger. Many get shocked when they find that the scandal of this kind could have the involvement of Habib.

Influence on Habib's Business Empire

The story has affected Jawed Habib’s brand, which has been before known for the service of the rich and famous, the most in a negative way. The accusations of fraud only add to the list of his problems, including the 2022 spitting incident during a workshop, which had a huge uproar and legal issues.

While the probe is still ongoing, the seriousness of the scandal in Habib’s business empire and the investors involved is yet to be revealed. This case is a cautionary tale of celebrity-endorsed investment scams and points to the necessity for extensive due diligence before making financial commitments.