East Delhi Resident Falls Victim to Rs 64 Lakh Cryptocurrency Investment Scam
A man from east Delhi has been defrauded of approximately Rs 64 lakh in a sophisticated cryptocurrency investment scam, according to police reports. The complainant, a resident of Mayur Vihar in east Delhi, detailed how he was lured into the fraudulent scheme through a deceptive application.
How the Scam Unfolded
The victim initially came across an application that claimed to offer intraday forex and cryptocurrency trading, including contract and dual trading options. To test the platform's authenticity, he first invested Rs 50,000. The same day, he successfully withdrew Rs 2,640, which was credited to his bank account, creating a false sense of security and confidence in the platform's legitimacy.
Encouraged by this initial withdrawal, the complainant began making multiple investments over the next two months. Between August 29 and October 18, 2025, he transferred a total of Rs 16.3 lakh to various bank accounts linked to different firms. These accounts were held in the names of several enterprises across different branches of a public sector bank.
False Profits and Tax Demands
Police investigation revealed that the complainant was shown inflated profits on the platform, leading him to believe his investment had grown substantially. When he attempted to withdraw Rs 88 lakh, he was allegedly told he needed to first pay Rs 47.8 lakh as capital gains tax. The scammers threatened that failure to pay would result in a penalty of 2% per day, and the amount would be treated as Tax Collected at Source.
Believing these demands to be legitimate, the victim arranged funds through personal loans and transferred Rs 47.8 lakh to another bank account provided on the platform. Despite assurances that the money would be released within 48 hours, no payment was made.
Police Action and Investigation
After realizing he had been defrauded, the complainant lodged a formal complaint on the national cybercrime portal on November 15. The case has been registered, and police are investigating the matter further. This incident highlights the growing sophistication of cryptocurrency-related frauds targeting unsuspecting investors.
Key Warning Signs in This Scam:
- Initial small withdrawals to build trust
- Inflated profit displays on trading platforms
- Unusual tax demands before allowing withdrawals
- Pressure tactics involving daily penalties
- Multiple bank accounts across different firms
Authorities advise investors to exercise extreme caution when dealing with cryptocurrency trading platforms, especially those promising high returns with minimal risk. Always verify the legitimacy of trading applications through official channels and consult financial advisors before making significant investments.
