'After The Chinese Loan Apps Scam...' Zerodha Founder Nithin Kamath Warns About New Brokerage Scam

He further said that clicking on the download links on these websites will prompt users to download the fake application, which can further lead to the transfer of money by the users

Founder and Chief Executive Officer of Zerodha, Nithin Kamath

Source : X

Founder and Chief Executive Officer of Zerodha, Nithin Kamath, On Thursday, warned investors about a new scam originating from China, in which scammers replicate websites of Indian brokerages to deceive people. “After the Chinese loan apps scam, the latest scam from actors in China and other Asian countries is phishing websites. Fraudsters are creating hundreds of websites and trading apps that look similar to the websites of Indian brokers,” Kamath wrote on the social media platform X (formerly Twitter).

He further said that clicking on the download links on these websites will prompt users to download the fake application, which can further lead to the transfer of money by the users.

After the Chinese loan apps scam, the latest scam from actors in China and other Asian countries is phishing websites. Fraudsters are creating hundreds of websites and trading apps that look similar to the websites of Indian brokers.

Unwitting users who click on the app download…

— Nithin Kamath (@Nithin0dha) February 15, 2024

 

“Unwitting users who click on the app download links, etc., will be prompted to download the fake app. The goal is to get people to transfer money by taking advantage of their familiarity with these apps,” Zerodha, Founder, wrote in the post.

He also shared one of his old tweets on how to avoid getting scammed through these kinds of methods, “This is just another one of the hundreds of international scams that have exploded in the last few years. In this case, a few tips I shared earlier to protect yourself from scams also apply,” he wrote.

The previous tweet by Kamath shares the following tips to avoid these scams.

• Never reply to unknown messages on WhatsApp, social media platforms, and dating apps.
• If someone asks you to download some new apps or open links, that’s a red flag. 
• These scams rely on exploiting your emotions like hopes, fears, dreams, and greed. 
• Never react in a hurry. Don’t panic. Most people fall for these scams because they react in a hurry. 
• When in doubt, go to the nearest police station or talk to a lawyer. 
• If someone promises something like a job or high returns or asks you for money, it’s a red flag. 
• Never share personally identifiable information like your Aadhaar, passport, or your financial information like bank details, investment details, etc.
• If it sounds too good to be true, it probably is

The scale of pig butchering scams in India runs into tens of thousands of crores. It is scary how many people fall for fake job offer scams, scammy high-return investment schemes and crypto investments, etc.

As the name implies, a pig butchering scam involves fattening the… pic.twitter.com/x3ezkZrmHR

— Nithin Kamath (@Nithin0dha) November 13, 2023

India has banned more than 100 investment scam websites operated by Chinese entities that have been targeting Indian citizens.

These websites were discovered to have links to numerous bank accounts, facilitating funds transfer between accounts to confuse investigating authorities. The funds were then converted into cryptocurrency to complicate the tracking process even further.