AHMEDABAD: Gujarat’s Cyber Crime Police have cracked down on an interstate cyber fraud racket that allegedly duped investors over a fake forex and cryptocurrency trading platform, promising extraordinary returns.
The racket that targeted investors across multiple countries came to light after a Gujarat-based complainant reportedly lost more than Rs 19 lakh.
Ahmedabad Cyber Crime Deputy Commissioner of Police Dr Lavina Sinha, Assistant Commissioner of Police Hardik Makadiya and the Cyber Crime Police Station launched an extensive investigation into the complaint.
The investigation revealed a larger organised cybercrime network operating across the State and international boundaries.
According to investigators, the complainant was drawn into the scheme after watching forex trading promotional videos circulating on various online platforms.
The videos projected forex trading as a highly profitable investment opportunity and directed potential investors toward a trading platform known as WinProFX.
Believing the claims, the complainant began investing funds through the platform by transferring cryptocurrency in the form of USDT.
Police said the platform initially displayed substantial profits on the investor's trading dashboard, creating an illusion of successful trading activity, encouraging further investments.
However, when the complainant attempted to withdraw the profits and the original investment amount, no money was returned for real.
Communication from the platform operators gradually ceased, leaving the investor unable to recover his funds.
Investigators allege that the accused persons, acting as part of a pre-planned criminal conspiracy, deliberately gained the trust of investors and induced them to invest larger sums through false representations.
Cyber experts conducted an extensive forensic analysis of digital footprints, call detail records, cryptocurrency wallet addresses, bank account transactions, and money trails.
Using advanced analytical tools and technical surveillance, investigators pieced together the operational structure of the alleged fraud network.
Intelligence inputs further strengthened the probe, eventually leading the police to Bihar. Based on the evidence collected, police arrested Kumar Mangalam, a 26-year-old B.Tech graduate in Computer Science from Begusarai, Bihar.
Authorities believe he played a significant role in the functioning and promotion of the WinProFX platform.
During the operation, police seized an iPhone, an iPad, and a MacBook from the accused. Investigators claim the accused was involved in uploading promotional forex trading videos designed to attract investors.
Also, he allegedly acted as a website developer and administrator for the platform. Police further allege that he earned revenue through referral codes and the operation of the trading portal.
WinProFX portrayed itself as an online forex and cryptocurrency trading platform offering investments in foreign exchange pairs, gold, silver, commodities, indices, and digital assets. Investors were encouraged to deposit money either in Indian Rupees or cryptocurrency.
Police sources revealed that WinProFX claims to be registered in Saint Lucia and has built a significant international presence.
Preliminary findings indicate that the platform has approximately 1.93 lakh registered users spread across nearly 100 countries, including India, the UAE, Pakistan, the United States, Bangladesh, Vietnam, Afghanistan, the United Kingdom, and several other nations.
Investigators suspect that investments running into several crores of rupees may have flowed through the platform.
Investigators have also found that deposits were allegedly routed through mule bank accounts maintained in Haryana with HDFC Bank and Indian Bank.
Verification through the Indian Cyber Crime Coordination Centre (I4C) portal reportedly revealed multiple cyber fraud complaints linked to these accounts.
In a significant development, investigators have also found indications that individuals associated with the ownership and management of WinProFX may have links to a Pakistani national.
Officials, however, stressed that this aspect remains under scrutiny, and further verification is underway.
Notably, the police also pointed out that despite not being registered to operate in India, the platform allegedly accepted investments from Indian users through local bank accounts and cryptocurrency wallets. Investigators believe this allowed the accused to reach a large number of Indian investors while operating beyond conventional regulatory scrutiny.
Following the complaint, Ahmedabad Cyber Crime Police registered a case under Sections 316(2), 318(4), 336(3), 340(2), 61(2), and 3(5) of the Bharatiya Nyaya Sanhita, along with Sections 66(C) and 66(D) of the Information Technology Act.
With one key accused now in custody, Ahmedabad Cyber Crime Police are continuing efforts to identify additional members of the network, trace financial transactions, uncover international connections, and determine the full scale of the alleged fraud.
