Hyderabad: The Cyberabad police busted an online investment scam with the arrest of a person identified as Kunjathbail Mujib Sayyad of Manglore in Karnataka.
Based on the complaint lodged by one Shaik Ahmed, a resident of Farooqnagar village in Ranga Reddy district, the Shadnagar police registered a case under Sections 420, 406, 120B of Indian Penal Code (IPC) and Section 5 of TSPDFEA-1999 and took up investigation.
Sayyad along with his local associates collected huge amounts from innocent people of Shadnagar and Hyderabad in the guise of an online investment scheme named “Max Crypto trading”. As per the plan, they promised that investors would get three times returns on their investment amount within 150 days and one would get two per cent commission in the event of enrolling a new customer.
For enrolling two more customers, the investor will get five per cent commission. Believing this, the complainant and 51 other residents of Shadnagar and Hyderabad deposited in crypto trading on different dates.
As per their promise, they initially paid returns in order to gain trust of more numbers and later closed their website and android application, after collecting Rs.1.66 crore from 52 victims. Following tip-off, the police arrested Sayyad, according to Cyberabad Economic Offences Wing, Deputy Commissioner of Police, K Prasad.
