New Delhi: At least 27 individuals have alleged they were defrauded of nearly Rs 14 crore in an online investment scheme that promised consistent returns through advanced trading technology, according to police officials.
Victims Targeted
Most victims came from middle-class backgrounds with limited knowledge of forex trading, cryptocurrency markets, or digital investment systems, complainants stated. Many invested their life savings, while others borrowed money after being assured of steady monthly returns.
Promotion Tactics
The scheme was promoted through webinars, seminars, social media campaigns, WhatsApp groups, online meetings, and personal referrals. Prospective investors were approached by acquaintances and existing participants, who invited them to presentations portraying the model as a sophisticated platform operating in international forex and cryptocurrency markets.
AI and Automated Algorithms Claim
The promoters claimed the platform was powered by artificial intelligence, automated trading algorithms, and financial infrastructure capable of generating stable monthly returns, said a Shahdara resident among the complainants. Another complainant invested Rs 21.9 lakh, initially seeing profits reflected on the platform, but the system later stopped functioning, and his funds remain blocked. Similarly, a woman invested around Rs 8.5 lakh, including personal savings and borrowed money, after being assured of monthly returns. The platform subsequently stopped releasing payments, leaving her investment inaccessible.
Building Credibility
To build credibility, investors were given access to digital dashboards showing investment balances and purported profits. The figures showed steady gains, creating the impression of genuine trading activity and prompting higher investments. Victims alleged they were asked to transfer funds through bank accounts, digital wallets, and cryptocurrency transactions. They were later persuaded to increase contributions and bring in friends, relatives, and acquaintances, expanding the investor network.
Withdrawal Problems
Problems surfaced when investors attempted withdrawals. Complainants said the operators cited technical upgrades, regulatory audits, and system changes to explain repeated delays. During this period, investor accounts were allegedly shifted across platforms, with assurances that funds were safe. In several cases, investors were encouraged to convert balances into newly launched cryptocurrency tokens projected as high-value assets.
Funds Blocked
Withdrawals were eventually halted, while dashboards continued to display notional balances, preventing recovery of funds. Complainants alleged the figures did not reflect any real trading activity and that the money was controlled by the operators.
Police Investigation
Based on the complaints, Delhi Police's Economic Offences Wing (EOW) has registered a case and launched an investigation. A Dubai-based man has been named as a suspect. Police are examining the money trail, the role of promoters, and the operations of the platforms involved. Meanwhile, the EOW registered another case alleging investors were duped by an investment platform that promised returns of up to 2.5 times the investment but later stopped payouts and became inaccessible. Complainants claimed the company illegally collected Rs 800–1,000 crore, pointing to a large-scale financial fraud.
