Story Highlights
- Indian police arrest five for fake crypto trading scam.
- Businessman loses $699K crore in cryptocurrency investment fraud.
- Authorities urge investors to verify crypto platforms carefully.
Indian police have arrested five people for running a fake cryptocurrency trading scheme. The criminals deceived one businessman into losing $699000 (₹6 crore) by claiming to provide attractive investment returns.
Odisha Police Arrests Family Behind Multi-Crore Crypto Fraud in India
The cybercrime division of Odisha’s state crime branch conducted the investigative operation. The arrested group included Sejal Ravikumar Sabhaya along with his father Sabhaya Ravi Kumanbhai, and his mother Sabhaya Kumanbhai, Paras Dhirubhai Jesani and Dharmesh Nanubhai Savaliya. The criminals established a fake cryptocurrency exchange platform with the purpose of swindling money from investors.
A woman started the fraud in May 2024 through social media contact with the intended victim. She represented herself as a Hong Kong-based software developer who would enable him to grow his money in just a few days. The perpetrator added him to a hoax group with actors pretending to be prosperous investors, as she wanted to give authenticity to her deceptive offer. The scammers passed on deceptive investment instructions to the victim while urging him to spend his money.
Because of these circumstances, the businessman chose to think this scheme was real. He sent a total of ₹6,16,37,084 to scam bank accounts during May and June 2024. Along with the fraud, the scammers provided several excuses that delayed his attempt to withdraw the money he believed he had made. The con artists rendered themselves unavailable to his messages or calls.
Fraudsters Delete Contacts and Chat to Hide Crypto Scam
After requesting a refund, the businessman learned that the scammers wanted another ₹89,00,000 as compensation. When he refused, they disappeared. The fraudsters eliminated their telephone contacts and erased their entire chat group. The businessman gained awareness of his fraudulent situation at that moment. Immediately after the discovery he submitted a complaint to police authorities.
After the filed complaint, the police framework activated its investigative operation. A group led by Crime Branch DSP Ratnaprava Satpathy followed digital money transfers and banking documents. The investigation due to digital transactions tracking and banking records resulted in the arrest of the five involved parties in Surat, Gujarat.
This is not the first time such a fraud has happened in India. In February, the Ahmedabad office of the Enforcement Directorate made a cryptocurrency seizure worth $190 million during their BitConnect scam investigation. Gujarat police confiscated a total of 13,50,500 rupees as well as a luxury SUV during their search actions.
Police authorities keep warning people about the growing number of cryptocurrency frauds. They urge investors to examine the legal status of a platform before making any investments. Agents urge people to authorize transactions through certified government sites and reject fraudulent ads that guarantee extraordinary investment outcomes.
This situation illustrates that internet fraud organizations now use advanced methods. People need to monitor the news and stay alert to detect threats. Investors can shield themselves from scams by checking investments before they commit and alerting authorities about abnormal behavior.
