A physiotherapist from the Khammam area of Nalgonda district has been reportedly duped of about ₹30 lakh in a sophisticated online stock market investment fraud, prompting a police investigation and the arrest of an accused. The case highlights the rising trend of online financial scams that lure victims with promises of high returns and then siphon off money through deceptive tactics.
How the Scam Unfolded
According to local police reports, the victim — a practicing physiotherapist — was initially contacted through social media platforms by individuals claiming to be investment advisers who could help him earn substantial profits through the stock market. The fraudsters built trust by promising attractive returns and provided links and instructions to invest in what appeared to be a legitimate trading platform.
Once the victim began investing, he was repeatedly persuaded to transfer more funds — under the pretext of increasing profits — until the total amount invested reached about ₹30 lakh. However, when he attempted to withdraw his supposed earnings or seek clarification, communication with the alleged advisers ceased, and it became clear that the investment scheme was fraudulent.
Scammers often use such tactics — combining social engineering with fake trading dashboards and WhatsApp or Telegram groups — to create the illusion of success. Early small “profits” are displayed on the fake platform to build confidence, encouraging victims to deposit larger sums before they vanish.
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Cybercrime Police Investigate and Arrest Made
After the victim realised he had been cheated, he lodged a complaint with the local cybercrime police. The authorities launched a detailed investigation into the digital trail, including the messages, bank transactions and app links used by the fraudsters.
Based on preliminary findings, law enforcement officers were able to identify and arrest one accused believed to be involved in facilitating the fraud. The arrested individual is now in police custody as the investigation continues to uncover whether additional accomplices were involved, and how the money was routed through multiple accounts to conceal its origin.
Pattern of Stock Investment Scams in India
This case is part of a wider pattern of online trading and investment scams that have ensnared professionals and other victims across the country. In many such incidents, fraudsters use convincing social media ads, fake WhatsApp groups and bogus trading apps to lure people with promises of high profits.
Often, victims are added to groups with names suggesting legitimate investor communities and are encouraged to deposit funds into accounts controlled by the fraudsters. These accounts are then used as mule accounts to move the defrauded money across banks and states.
In numerous other cases reported in recent years:
- A doctor and his spouse were cheated of ₹7.65 crore in a stock market investment scam involving WhatsApp groups operated by foreigners.
- Other victims, including doctors, have lost ₹22.7 lakh or more in fake trading app frauds before arrests were made.
- Some scams push victims to transfer funds incrementally through multiple bank transactions, only revealing the fraudulent nature when withdrawals are denied.
These schemes operate on psychological levers — urgency, fear of missing out (FOMO), and apparent early “gains” — to hook victims deeper into the scam.
Police and Expert Warnings
Cybercrime experts and police warn that no legitimate investment adviser guarantees profits through unsolicited social media outreach, especially when tied to opaque platforms. Genuine trading and investment must be done through registered stock brokers and SEBI-regulated intermediaries.
Authorities advise that investors should:
- Verify the credentials of any financial adviser or firm before transferring funds.
- Be wary of high-return promises that seem too good to be true.
- Never install or use unverified trading apps recommended by strangers online.
- Report suspicious contacts or investment schemes immediately to the National Cyber Crime Reporting Portal.
Strict action under relevant provisions of the Bharatiya Nyaya Sanhita (BNS), 2023 and the Information Technology Act, 2000 can be taken against those convicted of facilitating such frauds.
About the author – Rehan Khan is a law student and legal journalist with a keen interest in cybercrime, digital fraud, and emerging technology laws. He writes on the intersection of law, cybersecurity, and online safety, focusing on developments that impact individuals and institutions in India.
