KOCHI: Following rising concerns over drug abuse, Kerala police have now flagged another disturbing trend: a growing number of youngsters are getting entangled -- wittingly and unwittingly -- in cyber fraud through seemingly lucrative cryptocurrency trading platforms. These platforms, often promoted aggressively on social media, are increasingly being employed by fraudsters to launder swindled money.
The latest case involves three individuals from Kannur and Kozhikode who were arrested by Kochi City police for allegedly aiding cyber fraudsters in siphoning off Rs 90 lakh from retired High Court judge Justice Sasidharan Nambiar.
“A large number of social media adverts now promote bogus cryptocurrency trading platforms,” a senior police officer involved in the investigation said. “These platforms act as an extension of cyber fraud operations -- primarily run by Chinese firms. They use locals to route stolen money abroad via cryptocurrency. WhatsApp groups are commonly used to coordinate these illicit transactions.”
According to officers, money stolen in cyber fraud operations is transferred to the bank accounts of individuals who’ve been lured into the crypto schemes.
“These individuals are paid a small cut to let the money pass through their accounts. In some cases, the money is withdrawn and handed over to agents who then convert it into cryptocurrency before sending it overseas,” the officer said.
Authorities noted that while some youth may not fully grasp the illegality of their actions, many do. “When lakhs are deposited into someone’s account, it’s hard to believe they don’t question where the money has come from. Sadly, many choose to ignore the red flags because of the promise of easy money. These youngsters fall for the trap to make quick money,” the officer said.
Cops are also alarmed by the increasing number of arrests by police force of other states. “Teams from across the country regularly visit Kerala -- particularly the northern districts -- to arrest youngsters involved in cyber crimes registered elsewhere. These arrests can have long-term consequences on their futures, while the real masterminds, often based abroad, remain untouched.”