Cyberabad Police in Telangana busted an inter-state gang for cyber fraud and recovered cash of Rs 9.81 crore on Monday. The gang of four people lured people into trading and cheated them in the name of an online trading application -- Market Box. A Hyderabad man, who lost Rs 28 lakh, has lodged a complaint in the Cyberabad Police Station. Police have arrested the perpetrators in connection with cyber crime case, recover their mobile phone and two laptops used for luring people into the cyber fraud.
Cyberabad Police arrested mastermind Abhishek Jain along with his three other associates -- Pawan Kumar Prajapat, Akash Roy and Krishna Kumar. The accused lured people by showing good returns through the app and made people initially make small investments through the trading app, said police.
The investor thought all the money was being invested directly in the market through the app, but the four accused were diverting the amount through a Fincorp company formed by them, police further said after a preliminary investigation. The accused promoted the trading app through various social media platforms. According to police, it was a multi-commodity exchange application but the accused haven't registered it with SEBI. Using their marketing skills, the accused had connected over 3,000 people to the trading app.
Pawan Kumar Prajapat and Akash Rai, residents of Jodhpur in Rajasthan, and Krishna Kumar, a resident of Mughalsarai joined Abhishek Jain, a resident of Uttar Pradesh's Mughalsarai, who created the application. This cyber fraud racket has been busted by the police after the accused cheated people for almost 4 years.
Modus Operandi Of The Cyber Fraud
Explaining the modus operandi of the cyber crime, Cyberabad Additional DCP, Riti Raj said, Accused 1, Abhishek Jain used the bank accounts of Pawan Kumar Prajapat and Akash Rai to transact money and then divert it from there. Merchant account technology was used to withdraw money directly through the trading app.
Main accused Abhishek paid 10 per cent commission to both Pawan Kumar and Akash. The role of A4 Krishna Kumar was of money rotation and transaction after the cash from the investors was deposited in Pawan and Akash's bank accounts through the trading application. Further investigation in this case is still on.