In a significant breakthrough, the Visakhapatnam City Police have arrested nine individuals, including the mastermind, involved in a fraudulent loan application scheme that led to the tragic suicide of a young man in December 2024. This marks a pioneering move in Andhra Pradesh, as the police have confiscated cryptocurrency assets exceeding Rs60 lakh from the accused.
Police Commissioner Shankhabrata Bagchi revealed that the victim, a resident of Maharani Peta, had fallen prey to persistent harassment by operators of unauthorized instant loan applications. Despite repaying a portion of the borrowed amount, the victim faced severe threats, including the circulation of morphed images among his contacts, leading to immense mental distress and ultimately, his suicide.
Investigations traced the origin of the threatening messages to virtual numbers operating through WhatsApp, with technical analysis linking the threats to Pakistan. Further financial transactions were traced to bank accounts in Assam and Gujarat. Following the money trail, authorities identified approximately 9,000 victims across the country.
Among those arrested, Ramulaboya Srinivasa Rao from Kurnool allegedly supplied around 30 bank accounts to cybercriminals, earning a profit of Rs12 lakh. Anjana Devi from Eluru registered a fictitious company named ‘Circuit Doctors’ to open multiple current accounts, facilitating the fraudulent activities. Another suspect, identified as Samba, confessed to collaborating with Chinese cybercriminals known as ‘Hunt’ and ‘Andy’. Samba and his associates opened 132 bank accounts under various business names, facilitating transactions amounting to Rs200 crore.
The police have seized 18 mobile phones, one laptop, 54 SIM cards, and 15 stamp pads believed to have been used in the crime. Additionally, court orders were obtained to transfer nearly 70,000 USDT (Tether) cryptocurrency into a secure hardware wallet, the ‘Ledger Nano S Plus’.
This operation underscores the growing concern over digital harassment and the misuse of technology in financial frauds. The authorities have urged the public to exercise caution and report any suspicious activities related to online lending platforms.
