Man from Erode arrested in 1.23 crore online stock market investment fraud

The Central Crime Branch (CCB), Cyber Crime Wing has arrested a 41-year-old man from Erode in connection with an online stock market investment fraud involving ₹1.23 crore, police said.

According to police, the complainant, Mahendran, a resident of Villivakkam in Chennai, received a WhatsApp message claiming that investments in the online stock market would generate high returns. Believing the offer, he downloaded a stock trading application and initially invested ₹1 lakh. When he attempted to withdraw the profits shown on the app, he was informed that, due to “new rules”, additional investments were required.

Trusting the assurances, the victim transferred a total of ₹1.23 crore through multiple bank accounts. After realising that he had been cheated, Mahendran lodged a complaint with the Greater Chennai Police Commissioner.

Following the probe, the police arrested the accused, Senthil Kumar (41), a resident of Moolapalayam in Erode district, from Erode. Two mobile phones were seized from him.

Police have cautioned the public against online investment frauds and fake part-time job advertisements circulated through social media platforms such as Facebook, Instagram and YouTube. They have advised people not to trust fake stock trading app links, fraudulent investment websites or promises of unusually high returns, and to avoid opening fake demat accounts.