Hyderabad police busts Rs 712 cr 'Chinese investment fraud', nine arrested

He coordinates with them by sharing information on Indian bank accounts and shares the OTPs for operating these accounts from DubaiChina through remote access apps, the release said.It was also found that one of the arrested persons has supplied over 65 accounts to Chinese citizens in which transactions to an amount of Rs 128 crore took place.

The Hyderabad police on Saturday claimed to have detected a cryptowallet investment fraud of Rs 712 crore by Chinese operators. Nine people have been arrested in this connection from different places in the country. Some of the cryptowallet transactions in the fraud have been found to have linkages with Hezbollah wallet (labelled as wallet belonging to terror financing module), a police release said.

The Cyber Crime Police had registered a case, based on the complaint lodged by a Hyderabad resident. The complainant said he was offered a part-time job to 'rate and review' (certain tasks) via a messaging app. Believing it to be genuine, he registered in their website. Initially, he was given simple task to give five star rating by investing small amount of Rs 1,000 and he earned a profit of Rs 866. Subsequently, though the complainant had earned a profit of Rs 20,000 after investing Rs 25,000, he was not allowed to withdraw the profit. He was further made to invest money and he lost Rs 28 lakh in total. During the course of investigation, it was found that Rs 28 lakh that the victim lost had been transferred to six accounts and from there the money has been transferred to various Indian bank accounts and finally in Dubai. The fraudulent money was used to purchase cryptocurrency.

In the multilayered fraud, a resident of Ahmedabad, one of the arrested persons, was found to be associated with some Chinese citizens. He coordinates with them by sharing information on Indian bank accounts and shares the OTPs for operating these accounts from Dubai/China through remote access apps, the release said.

It was also found that one of the arrested persons has supplied over 65 accounts to Chinese citizens in which transactions to an amount of Rs 128 crore took place. The other accounts through which the fraudulent money have been converted to United States Department of Treasury (USDT crypto currency) valued at Rs 584 crore, totalling over Rs 712 crore has been siphoned off by the fraudsters, the release said.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)