Bengaluru Man Loses ₹5.1 Crore in Sophisticated LinkedIn Forex Trading Scam

In a distressing case that highlights the growing sophistication of online financial fraud, a 61-year-old Bengaluru resident has lost a staggering sum of over ₹5.1 crore to a meticulously orchestrated foreign exchange trading scam that originated on the professional networking platform LinkedIn. The victim, identified as Ramesh (name changed), a resident of Jayanagar employed with a private firm, approached the cybercrime police this week after nearly two years of waiting for promised profits that never materialized.

The Deceptive Beginning: A Polished LinkedIn Pitch

According to the detailed complaint filed with authorities, the elaborate deception began on February 24, 2024, when Ramesh received a message on LinkedIn while casually checking his phone. The sender presented himself as a representative of a legitimate forex trading firm, speaking with confidence about market opportunities and substantial profit potential. His polished pitch was convincing enough to persuade Ramesh to register his email ID, link it to what appeared to be a trading account, and share his credentials with the fraudster.

The initial investment request came swiftly – the fraudster sent what was described as a trading card and instructed Ramesh to deposit ₹4 lakh as a starting amount. Almost immediately after this transfer, artificial profits began appearing on the trading dashboard, creating an illusion of legitimate returns and building false confidence in the scheme.

The Escalating Financial Drain

Encouraged by these fabricated profit figures, Ramesh was repeatedly nudged to increase his investments with promises of quick and substantial gains. Over the following several months, between February and November 2024, he transferred more than ₹4.9 crore from one bank account through multiple transactions, along with an additional ₹25.8 lakh from a separate account, to the bank details provided by the accused.

Each substantial transfer was followed by reassuring messages and doctored screenshots showing continuously growing profits, maintaining the elaborate facade of a successful investment venture. The victim told police he delayed filing a formal complaint because he genuinely believed the returns would eventually materialize, demonstrating the psychological hold such scams can establish over their targets.

The Inevitable Collapse of the Illusion

The trouble began when Ramesh attempted to withdraw his funds. His requests went unanswered or were met with fresh demands for additional payments, variously described as processing fees, taxes, or account charges. Even at this stage, still convinced his investment would eventually pay off, he continued waiting. Only recently did he come to the painful realization that the entire trading platform, the displayed profits, and the people operating it were completely fictitious.

Police investigations revealed that the accused were identifiable only through online profiles, including LinkedIn accounts that were likely created specifically for fraudulent purposes. A formal case has been registered under relevant sections of the Information Technology Act along with Sections 318 (cheating) and 319 (cheating by personation) of the Bharatiya Nyaya Sanhita.

Alarming Rise in Similar Cyberfraud Cases

Senior police officers have issued warnings that such sophisticated trading scams are witnessing a significant rise across the country. In 2024 alone, authorities have documented that more than 6,000 people were allegedly cheated of over $35 million through similar foreign exchange trading frauds, indicating an organized pattern of cybercrime targeting Indian investors.

How These Sophisticated Trading Scams Operate

According to cybercrime investigators, fraudsters typically create fake trading websites and mobile applications that closely mimic legitimate platforms, often branded as forex portals to appear authentic. These fraudulent platforms are aggressively promoted through social media advertisements, reels, and increasingly through deepfake videos that add another layer of deception.

Victims are frequently added to WhatsApp or Telegram groups where they receive so-called training sessions and fake screenshots of investment gains. Once initial payments are made, artificial profits are prominently displayed to build trust and encourage larger investments. When victims eventually attempt withdrawals, fresh demands for additional payments follow. By this stage, the transferred money is usually long gone, having been moved through multiple accounts to obscure its trail.

Essential Protective Measures for Investors

To safeguard against such sophisticated financial frauds, authorities and financial experts recommend several crucial precautions:

Never trust unsolicited investment offers received through social media platforms – legitimate financial opportunities rarely arrive via direct messages
Exercise extreme caution regarding guaranteed or unusually high returns – legitimate investments never promise fixed profits regardless of market conditions
Always verify trading platforms with regulatory bodies like SEBI or authorized financial institutions before investing any funds
Consult certified financial advisers in person rather than relying on online recommendations from unknown sources
Never share sensitive information including email IDs, OTPs, bank details, or trading credentials with unknown persons
Avoid downloading trading applications or clicking links sent by strangers, as these may contain malware
Recognize that demands for so-called processing fees, taxes, or charges to withdraw your own money represent major red flags in investment schemes
Report suspicious investment opportunities immediately to the national cybercrime helpline (1930) for timely intervention

This case serves as a stark reminder of the sophisticated methods employed by cybercriminals to exploit trust and financial aspirations. As digital platforms become increasingly integrated into our financial lives, vigilance and verification remain our strongest defenses against such elaborate frauds.