₹120 Million Stock Investment Fraud Exposed: 40-Year-Old Indian Man Arrested

Police in Noida recently arrested a 40-year-old man. The man is alleged to have defrauded multiple investors, with the total amount involved nearing ₹120 million.

The investigation into this case originated from a complaint filed with the Noida police on December 3. The complainant stated that someone posing as a professional stock market advisor had deceived him into making substantial investments, claiming the opportunity offered fixed and guaranteed returns. Trusting the advisor, the victim transferred funds to multiple bank accounts designated by the fraudster.

Police investigations revealed this was a highly organized criminal operation. The fraud ring utilized shell companies, Goods and Services Tax registrations, money laundering accounts, and cryptocurrency platforms to conceal the trace of funds, while fabricating transaction data.

The arrested man, Sudhakar Garg, disclosed to police that he met an individual claiming to be Rashid Khan, alias "Lucky," through the social media platform Instagram. Khan instructed Garg to register multiple businesses and open several current accounts under the businesses’ names.

Police stated these firms had no real operations and existed solely for money laundering. Garg received 7% to 10% commissions from the accounts he managed, while account holders earned returns of 1% to 3% in USD. Investigators found the suspect had been involved in ongoing fraudulent activities over the past year, with at least five associated bank accounts used for illegal transactions.

Before Garg's arrest, police had detained four other suspects on December 5. The National Cybercrime Reporting Portal (NCRP) has received 37 complaints related to the involved accounts.

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