Hyderabad Insurance Agent Duped of Rs. 72 Lakh in WhatsApp Stock Trading Fraud Promising Huge Returns

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A 40-year-old insurance agent from Uppal, Hyderabad, has reportedly lost Rs. 72 lakh after falling victim to a WhatsApp stock trading scam that promised unusually high returns. The Rachakonda Cybercrime Police have launched an investigation into what they believe is part of a wider network of WhatsApp fraud targeting professionals and small investors.

Fake ‘Stocks VIP Exchange Group’ Promised Quick Profits

According to police officials, the victim was added to a WhatsApp group called Stocks VIP Exchange Group E8. The group promoted what it described as “lucrative stock investment” schemes and displayed fake testimonials to attract investors. The group administrators, who introduced themselves as Karim Varma and Kristen, claimed to represent Russell Investments, a well-known global firm.

At first, the target put in Rs. 50,000 and was shown tiny, fake profits via a fake trading platform. As he believed the profits were real, he invested in stages over weeks and finally sent Rs. 72,03,133 in total.

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Fraudsters Demanded Extra Fees Disguised as Taxes

The fraud turned more sinister when the duped individual tried to take out his alleged gains. The scam managers insisted on more money, stating it was necessary for “tax clearance” and “transaction commissions.” The victim's expression of unwillingness was met with the cessation of all communications, and the WhatsApp group was removed by scammers.

By then, all contact with the scammers had been lost. Realizing he had been defrauded, the man approached the Rachakonda Cybercrime Police, who immediately registered a case under sections related to online financial fraud and impersonation.

Police Warn Against WhatsApp Trading and Investment Scams

The Rachakonda Cybercrime Police have urged the public to stay alert to the growing number of WhatsApp stock trading fraud cases. Investigators say many such scams originate from international rackets that operate fake investment platforms and lure victims using social media and messaging apps.

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Officials recommended that investors check if the trading groups are real, refrain from disclosing personal and financial information over the internet, and avoid sending money to accounts that have not been verified. The police remarked that real banks and other financial institutions never promote investment through WhatsApp groups.

Currently, the authorities are following the digital footprints related to the scam and are working together with the cybersecurity teams to find the criminals.