Video Straits Tour Turns Deadly: How a False Stock Tip Cashed out Rs 76.5 Lakh

A Tamil Nadu government doctor lost ₹ 76.5 lakh after falling prey to an online fraud by clicking on an advertisement on YouTube for "lucrative stock market tips".

A governmental medical college associate professor was surfing YouTube and found an advertisement to promote online trading guidance. An expert in the stock market, he introduced himself and clicked on the ad. He was directed to a WhatsApp group where experienced traders were saying their strategies about the best way of capitalizing in the stock market and putting up impressive profit-making screenshots.

The WhatsApp group presented the doctor with a very rudimentary concept of online trading that gradually helped the doctor to evolve trust in the group's legitimacy. The management was reported to be carried out by one "Diwakar Singh," who circulated timely trading advice and recommendations about short-term and long-term investment opportunities. With the perception of several members' success stories, the doctor became interested in furthering his involvement with the investment opportunities offered.

Convinced by the gangsters, the doctor signed up for an online trading website they told him about. He argued he would make lots of money since his funds would be spread into stocks of prominent Indian and U.S. companies. They spoke about some stocks and IPOs, boasting a 30 percent profit margin to give him a sense of security.

Convincing him about all this, the doctor began to remit the amounts into that account through the link sent by the cheating party. In the third week of October, he transferred nearly ₹76.5 lakh over three weeks, believing his money was being invested suitably.

The scam unraveled on 22 October when the doctor tried to withdraw ₹50 lakh from his account. The website refused the transaction, which it quoted an additional fee of ₹50 lakh by so-called "Qualified Institutional Buyers Association" to withdraw. This unexpected fee created alarm, and the doctor realized that it is a scam. He immediately put in a complaint with the local authorities.

This case is part of the latest trend in online investment frauds in India, where fraudsters exploit hopes for easy and handsome returns. According to recent reports, such scams have been rising; there are many cases of losing significant amounts of money to sophisticated schemes of fraudulent scams.

There have been calls from authorities and cyber experts to the public to exercise great care when dealing with advertisements, especially those promising high returns at minimal risk. Some key recommendations to avoid falling victims to similar scams include;

Ensure that the website is genuine and safe before providing personal and financial information by checking the URL.

Verify Contact Information: You should not host unknown individuals who are peddling investment plans or even winnings payment by verifying their identities and the authenticity of their schemes.

Be Alert for Red Flags: Be cautious of anything unusual such as charging extra fees to withdraw; no two-factor authentications such as OTP

Safe E-Transactions: Use a payment method from a trusted merchant especially if the option allows you to have a two-factor authentication feature.

Report Suspicious Activity: If you think your money has been stolen report the incident to local authorities and your bank immediately to try to minimize losses.

Cyber-crime frauds are still on the rise as cyber-authorties are trying to get an upper hand to curb it, but keeping yourself informed is still quite subjective and dependent on the individual. It would be wise to seek guidance of certified financial advisors and consult them before you plunge into such an unsolicited investment opportunity that looks too good to be true.

As digital frauds are evolving in new ways, awareness and proactive measures are important in safeguarding oneself from falling into the trap of such deceitful schemes.

Also read: ‘Do not click on links…’ SBI Warns Against Reward Points Scams through SMS & WhatsApp