VIJAYAWADA: With a surge in complaints about a new wave of cybercrimes disguised as online trading, Initial Public Offerings (IPOs), and mutual fund scams, the NTR District Police Commissionerate has been inundated with cases in recent days. Officials are now actively working to raise awareness about these frauds and the tactics employed by swindlers to dupe victims.
According to the NTR district police, over 20 complaints have been lodged by individuals who collectively lost around Rs 2 crore to fraudsters promising high returns on investments in mutual funds, IPOs, and stock trading.
Explaining the scam, Cybercrime police Inspector B Gunaramu stated that the fraudsters typically use online advertisements to offer free investment advice and stock trading tips. After gaining the victim’s trust, the fraudsters encourage them to invest more in IPOs and opt for high-risk options for quicker returns. Once the victim agrees, the fraudsters send a Google form and a link to download an unauthorised website or mobile application.
“An unidentified customer relationship executive explained to me that I would earn high returns if I invested in IPOs. Trusting her, I initially invested Rs 1 lakh and gained 40 per cent in my first attempt. Encouraged, I invested Rs 45 lakh in various IPOs. However, when I tried to sell my holdings, the representatives became unreachable, and I could not withdraw my funds,” said Karthik (name changed), a complainant.
In a similar method, the fraudsters use social media platforms like Instagram, Facebook, Twitter, and WhatsApp to advertise free trading tips. When victims click on these advertisements, they are redirected to unknown WhatsApp groups where fraudsters communicate with them and persuade them to invest, offering free tips to buy and sell stocks.
“After a few days, the victims are asked to install trading applications provided by the fraudsters for further guidance. These applications are illegal and unauthorised, leaving victims with no recourse to recover their lost money,” the Cybercrime police stated.