The West Bengal Cyber Crime Wing has unearthed a nationwide cyber fraud network that allegedly duped more than 1,379 investors of over ₹317 crore through fake investment schemes and trading apps. The case began with a complaint filed by a retired State Bank of India officer from New Town, who lost ₹93 lakh to online scammers last year.
Following months of investigation, police conducted searches at multiple locations linked to industrialist Pawan Ruia, including the Ruia Centre (Park Circus), Dunlop Industrial Products Pvt. Ltd. (Park Street), and his residence in Ballygunge. Officials recovered a trove of digital devices and financial documents connected to the fraudulent transactions.
The Modus Operandi
Investigators revealed that the scam began when victims were added to WhatsApp groups offering “expert investment guidance” and “high returns.” A fake mobile app and website were created to display fabricated profits and build trust. Initially, small “profits” were returned to victims to lure them into investing larger sums.
Between November 2023 and January 2024, the complainant transferred ₹93 lakh to multiple bank accounts controlled by the fraudsters, who later disappeared. The case was first registered at the Bidhannagar Cyber Crime Police Station on April 3, 2024.
₹317 Crore Laundered via 148 Shell Companies
During the financial probe, investigators traced the fraudulent funds through 148 shell companies, many registered under identical addresses. These entities acted as money mules, routing the funds through several layers of accounts before converting them into cryptocurrency to evade detection.
Police sources confirmed that this was a sophisticated, multi-state fraud network involving fake documentation, forged KYC details, and digital payment gateways designed to appear legitimate.
Major Raids and Seizures
On November 6, coordinated raids were carried out across Kolkata, resulting in the seizure of six mobile phones, ten laptops, foreign (Dubai) SIM cards, hard drives, servers, twelve pen drives, seven Wi-Fi routers, PAN cards, cheque books, and corporate records.
Preliminary forensic analysis suggests that nearly ₹170 crore of the total amount was converted into cryptocurrency using international exchanges. Officials believe that several of the seized devices may contain crucial data linking the money trail to offshore entities and digital wallets.
New FIR and Legal Action
Following fresh leads, the Barrackpore Cyber Crime Police Station registered a suo motu FIR on November 5, 2025, invoking several sections of the Bharatiya Nyaya Sanhita (BNS) — 336, 338, 339, 340, 317(4), 318(2), 319(2), 61(2), 111 — along with Sections 66C and 66D of the IT Act, pertaining to identity theft and cheating by impersonation.
Wider Impact and Ongoing Investigation
According to senior officials, the case highlights the growing sophistication of organized cyber-financial crimes in India, where scammers exploit digital finance platforms and cryptocurrency channels to obscure their trails.
The Cyber Crime Wing is now working with inter-state agencies and financial intelligence units to trace the money flow, foreign links, and ultimate beneficiaries of the fraud. Investigators have not ruled out the involvement of more individuals or business entities.
“This is one of the most structured and technologically advanced cyber fraud networks we’ve seen — using shell companies, crypto assets, and cross-border transfers to defraud investors,” said a senior officer with the West Bengal Cyber Cell.
Officials emphasized that the case serves as a warning to investors and corporates alike — underscoring the urgent need for stricter digital financial compliance and cyber vigilance in India’s expanding online economy.
