Ahmedabad Cybercrime Unit Busts Rs 1.54 Crore Investment Fraud Ring
In a significant crackdown, the Ahmedabad cybercrime branch has arrested five individuals connected to a sophisticated Rs 1.54 crore cyberfraud operation. The elaborate scam, which promised lucrative stock market returns, has unveiled a disturbing network involving a diamond worker and a bank manager, with investigators pointing to connections with Chinese entities targeting senior citizens across India.
How the Fraud Operated: WhatsApp Groups and Fake Apps
The case originated when a victim was lured into a fraudulent investment scheme between December 15, 2025, and February 4, 2026. The perpetrators used a WhatsApp group named "91 Barclays-Stock Market Pioneer" to circulate suspicious investment links. Through persuasive tactics, they convinced the victim to invest in shares and IPOs via a counterfeit application that guaranteed unusually high returns.
Over several weeks, the victim transferred the substantial sum of Rs 1.54 crore in multiple installments to various bank accounts. None of the money was ever returned, leaving the investor with significant financial losses.
Investigation Reveals Layered Money Laundering Operation
Cybercrime officials employed both technical analysis and human intelligence to trace the complex fund trail. Their investigation uncovered a multi-layered operation designed to obscure the origins of the illicit proceeds. The scheme utilized:
- Mule accounts opened by individuals including a diamond worker and daily wage earners who allowed their accounts to be used for commissions
- Bank insiders who facilitated unauthorized changes to account details
- A gold conversion route to launder the fraudulent deposits
Bank Officials' Involvement in the Scam
Among those arrested were two bank officials whose roles proved crucial to the fraud's execution. A branch manager with a master's degree in mass communication and journalism, along with another officer with a commerce background, allegedly altered registered mobile numbers and email IDs in accounts without the knowledge of legitimate account holders.
This unauthorized access enabled net banking privileges and allowed the conversion of fraudulent deposits into sweep fixed deposits. Subsequently, funds were channeled through payment gateways to purchase gold from a prominent city jewellery showroom, with the proceeds ultimately handed over to the masterminds who remain at large.
Wider Implications and Ongoing Investigation
The case has revealed broader connections, with investigators noting it appears to be "part of a larger scam run by Chinese entities" that specifically targets senior citizens through WhatsApp and Telegram groups nationwide. Authorities have registered the case under relevant sections of the Bharatiya Nyaya Sanhita and the Information Technology Act.
During the investigation, 414 complaints linked to mule accounts from bank branches in Chandkheda and New Chandkheda surfaced on the national cybercrime portal. Police have seized seven mobile phones, one laptop, cheque books, ATM cards, and bank documents valued at Rs 1.07 lakh.
With the masterminds still on the run, authorities have indicated that further arrests are likely as the investigation continues to unravel the full extent of this sophisticated financial fraud network.
