Kerala: Senior citizen loses ₹6 crore in online trading scam
What's the story
A 63-year-old senior citizen from Marappalam district in Kerala has become the latest victim of an elaborate online trading scam, losing a whopping ₹6.19 crore.
The unidentified culprits took advantage of the elderly man's interest in online trading and earned his trust with their professional demeanor.
The victim described the fraudsters as "well-informed, educated, and brilliant enough to predict and assess the current market situations with utmost precision."
Scam initiation
Scammers exploited victim's online trading interest
The victim, who had been living abroad for several years, has been trading online for the last three years.
The fraudsters first contacted him in August this year with tips on online trading.
They invited him to join a WhatsApp group for regular updates and created an account for him on a bogus website.
They also convinced him to download a mobile app to track market trends.
Scam progression
Fraudsters tricked victim into making multiple transactions
Initially, the victim invested a small amount and received timely returns, which prompted him to invest larger sums.
However, the fraudsters then started withholding his profits.
They manipulated him into transferring funds through 26 transactions to five different bank accounts they controlled.
The fraudulent activities were carried out between August 5 and October 17 this year.
Investigation
Police investigation underway in online trading scam
Upon realizing the scam, the victim approached the city cyber police.
The authorities have launched an investigation under several sections of the Bharatiya Nyaya Sanhita and Information Technology Act.
The charges include cheating, cheating by personation, forgery for purpose of cheating, and fraudulent use of a forged document.
The victim is yet to recover his money.
Preventive measures
How to protect yourself from online trading scams?
Always beware of unsolicited calls urging investments. Verify their company's registration with financial authorities, before you share any personal or financial details.
Research thoroughly—look for reviews and complaints. If they promise quick, high returns or urge urgency, it's likely a scam.
Trust your instincts: if it feels off, hang up and don't engage further. Additionally, staying updated on common scams will help you spot red flags early.