Visakhapatnam city police have arrested Nadella Srinivasa Rao, a 52-year-old resident of Gajuwaka, for allegedly orchestrating a scheme that defrauded investors of approximately Rs 75 crore. The case emerged following a complaint against Rao, accusing him of cheating over 360 individuals across various states.
According to the complaint, the accused lured victims by promising high returns on unauthorized investment schemes. He portrayed himself as an online trader operating from an office in Vuda Colony and persuaded people to invest in multiple deposit plans.
In January 2023, one complainant invested Rs 1.5 lakh in two schemes, initially receiving timely returns. Encouraged by this, he transferred Rs 10 lakh from his wife’s bank account to Rao’s account, expecting more significant profits. However, the promised returns ceased. The accused had provided the victim with a promissory note and a cheque for Rs 5 lakh, both of which turned out to be worthless.
Rao also managed a WhatsApp group named “NSR Traders Deal Shekhar,” attracting hundreds of investors from Andhra Pradesh, Telangana, Tamil Nadu, Karnataka, Punjab, and other states. His schemes promised substantial monthly profits, including one offering a return of Rs 10,000 on an investment of Rs 1 lakh over 30 days.
Following the complaint, the Visakhapatnam police registered a case under the Banning of Unregulated Deposit Schemes (BUDS) Act of 2019 and IPC Section 420 (cheating). The accused was apprehended and placed in judicial remand, with ongoing investigations focusing on recovering the victims’ deposited amounts.
