Hyderabad Cybercrime Police have busted a massive online investment fraud racket that defrauded victims across 14 states, involving transactions worth Rs235 crore. Officials said cash transactions totaling Rs100 crore were also traced through angadias, and some 11,000 contact numbers linked to the scam have been identified.
The police arrested three key accused: Hemal Dhanak (38) from Rajkot, Jaysukh Patoliya (44) from AK Road, and Yash Patoliya (25) of Amroli, Surat. Several others, including Dipen Dhanak, Alpesh Vaghasiya, Navin Dhanak, Zarit Goswami, Saurav Savaliya, Harish Makwana, Vipul Savaliya, Vishal Desai, Tarun, Banti Parmar, and Mayur Sojitra, remain at large.
The investigation revealed that the accused ran a multi-level marketing (MLM) scheme through two offices: Innovative Trade (IV Trade) in Pragati IT Park, Utran, and Sky Growth Wealth Management at The Spayran II, Rajkot. Police seized ₹40 lakh in cash, laptops, mobiles, tablets, PAN cards, and other valuables from the two locations.
The fraudsters lured investors with promises of 7% to 11% monthly returns, accepting both online and cash payments. Investors were given grades based on the funds brought in, ranging from $25,000 to $250,000. The accused also ran a website and held seminars to recruit more agents and encourage investments.
“The minimum lock-in period was 18 months, and victims only realized they were cheated after this period. Funds were funneled into cryptocurrencies, with some ‘profits’ initially shared with agents to maintain trust,” a police official said.
Police registered 26 criminal cases in multiple states, including Karnataka, Uttar Pradesh, Tamil Nadu, West Bengal, Haryana, Telangana, Maharashtra, Bihar, Delhi, Jharkhand, Andhra Pradesh, Kerala, Manipur, and Madhya Pradesh, listing the bank accounts linked to the accused.
Authorities warned citizens to verify online investment platforms and report suspicious schemes promptly to avoid falling prey to similar scams.
