Gwalior: Nursing College Officer Falls for AI Trading Scheme . A 46-year-old administrative officer at a nursing college in Gwalior was allegedly cheated of ₹9.41 lakh after cybercriminals lured him into a fake artificial intelligence-based trading and foreign exchange investment scheme.
The accused allegedly promised automated trading, limited risk and a 300% bonus before arranging a demat account through a company called ‘Value Trade’. The trading account was subsequently made to display an alleged profit of around $90,000, equivalent to nearly ₹75 lakh.
The large balance allegedly convinced the victim that his investment was generating substantial returns. However, when he attempted to withdraw the money, the accused allegedly began demanding additional payments under different pretexts.
How the Alleged AI Trading Fraud Began
Ashish Mitkar, a resident of Sirol and an administrative officer at RS Singh College of Nursing near Sikrauda Chauraha, told police that a person identified as Akshay contacted him after he opened the demat account.
Akshay allegedly claimed that the company used artificial intelligence to automate forex trading and that trades would be protected by a stop-loss limit of 2%. He also allegedly told Mitkar that he would personally invest ₹2.50 lakh and arrange a 300% bonus from the company.
Following the instructions, Mitkar deposited around ₹3 lakh into bank accounts provided by the alleged fraudsters.
On July 25, his trading account reportedly began showing profits of approximately $90,000.
Fake Profit Used to Build Trust
The displayed profit appears to have played a central role in the alleged fraud. By showing a substantial increase in the account balance, the accused allegedly created the impression that the investment was successful and that the profits were genuine.
The situation changed when Mitkar tried to withdraw the money.
On August 26, after he submitted a withdrawal request, Akshay allegedly told him he was on leave and connected him with another person identified as Akash.
Akash allegedly demanded around ₹9 lakh as a 10% profit-sharing amount and warned that a penalty of 1.5% per day would be imposed if the payment was not made.
Under pressure, Mitkar transferred ₹2 lakh to an account specified by the accused.
More Payments Demanded for Withdrawal
The alleged demands continued after the initial payment.
A person identified as Abhijeet Chauhan, who allegedly introduced himself as an accountant, subsequently contacted Mitkar and claimed that verification and cash-payment requirements had to be completed.
Chauhan allegedly requested documents, including Mitkar’s Aadhaar card, and instructed him to make another payment. On August 28, Mitkar allegedly transferred ₹4,41,260.
Despite the payments, the promised trading profits were not released.
As further demands were allegedly made, Mitkar became suspicious and realised that he may have been targeted in an online investment fraud.
Police Investigate ₹9.41 Lakh Cyber Fraud
Mitkar subsequently contacted the national cybercrime helpline 1930. Following his complaint, Sirol police registered a case and began investigating the alleged fraud.
Investigators are examining the bank accounts used to receive the money and tracing the transaction trail. Police have also initiated the process of placing holds on relevant bank accounts, while efforts are underway to identify the individuals involved and determine whether they are connected to a larger cybercrime network.
Why Fake Trading Profits Can Be Dangerous
Cybercrime expert and former IPS officer Prof. Triveni Singh said displaying fake profits can be an effective psychological tactic in online investment fraud.
According to Singh, fraudsters may initially create the appearance of high returns on a trading platform. When victims attempt to withdraw the money, criminals allegedly introduce additional requirements such as taxes, processing fees, penalties or verification charges.
A large profit displayed on an investment platform does not by itself establish that the money is real or withdrawable. Investors should independently verify the company, its regulatory status, payment channels and withdrawal conditions before transferring funds.
Anyone who suspects an online investment scam should immediately inform their bank and report the incident through 1930, as early reporting can improve the chances of tracing or restricting the movement of the money.
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About the author — Ananya Aradhya writes on cybercrime, fraud, scams, cybersecurity, digital safety, and emerging threats. Her work also covers major criminal cases, financial frauds, consumer scams, and stories that highlight risks affecting people in the real and digital world.
