A quiet Noida neighbourhood became the unlikely setting of a high-stakes cyber fraud, as a 54-year-old man was swindled out of ₹48.6 lakh through a complex forex trading scam orchestrated via social media. The case is now a chilling reminder of how digital trust can be weaponized in India’s rapidly expanding cyberspace.
The Digital Trap: When Online Connections Turn Criminal
It began, as many modern interactions do, with a friendly message on social media. But for Sandeep Agarwal, a 54-year-old resident of Sector 45, Noida, the online exchange would soon unravel into a financial nightmare. Lured by promises of wealth through foreign exchange (forex) trading, Agarwal was coaxed by a woman he met online into opening a trading account and routing money through so-called “dealers.”
According to his complaint, the woman claimed direct investment wasn’t allowed and insisted he route his transactions through designated dealers. At first, he made modest gains and successfully withdrew profits, which only deepened his trust. Encouraged by early success, he escalated his investments, eventually transferring ₹48.60 lakh.
The illusion of profitability persisted until May 13, when he was asked to pay a “tax” to withdraw further gains. That was when the mask dropped, and the digital dream turned into a real-life nightmare.
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Anatomy of a Scam: Building Trust Before the Fall
Cybercrime officials said the fraud followed a familiar pattern: create an online persona, exploit emotional trust, offer seemingly legitimate financial incentives, and slowly draw the victim into deeper investment. The woman at the center of the scheme is believed to be part of a larger network that targets middle-aged professionals and retirees, using social engineering to manipulate victims into sending large sums to untraceable accounts under the pretext of high-yield forex trading.
Police have registered a case under charges of cheating and impersonation under the Bharatiya Nyaya Sanhita (BNS) and relevant sections of the Information Technology Act. Investigators are currently tracing digital footprints, banking transactions, and social media profiles used in the con.
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Growing Epidemic: India’s Cybercrime Surge and the Price of Digital Illiteracy
India is fast becoming a hotspot for online financial fraud, especially in forex, crypto, and investment scams. As digital literacy grows, so does the sophistication of con artists who weaponize platforms once meant for socializing and commerce. A 2024 NCRB report revealed a 64% rise in cyber fraud cases over the past two years, with trading and investment scams accounting for nearly 38% of total reported digital financial crimes.
What’s particularly dangerous is the emotional manipulation used in such frauds, often combining elements of romance scams and financial cons. Victims, like Agarwal, are made to feel secure by early gains, misleading dashboards, and the illusion of ongoing communication with a trusted friend or adviser.
The scam has sparked fresh debate around the regulation of digital trading platforms, the responsibilities of social media companies, and the need for a coordinated national approach to combat cybercrime.
About the author – Prakriti Jha is a student at National Forensic Sciences University, Gandhinagar, currently pursuing B.Sc. LL.B (Hons.) with a keen interest in the intersection of law and data science. She is passionate about exploring how legal frameworks adapt to the evolving challenges of technology and justice.