Cyber scammer poses as Finance Ministry official, dupes BRS MLA Palla Rajeshwar Reddy of Rs 1 lakh

Hyderabad: In a startling case of cyber fraud, BRS MLA Palla Rajeshwar Reddy from Jangaon was duped of ₹1 lakh by a fraudster who impersonated a senior official from the Union Finance Ministry and lured him with a fake scheme for unemployed youth.

How the fraud began

The incident occurred on April 5 when the MLA, who was in Hyderabad, received a phone call from an unknown person claiming to be an Additional Secretary in the Finance Ministry.

The caller spoke convincingly about a government-backed initiative aimed at providing financial assistance to unemployed youth.

Fake scheme exploiting goodwill

The fraudster claimed that around 40 youths from the MLA’s constituency were eligible for financial assistance of up to ₹10 lakh each under a so-called “Prime Minister Viksit Bharat” scheme, including a grant of ₹5 lakh. He further stated that a processing fee of ₹2,500 per applicant was required.

Believing the offer to be genuine and keen to support the youth, Rajeshwar Reddy agreed to proceed. He later said he paid the amount himself as it was presented as the last date for submitting applications.

₹1 lakh transferred digitally

Acting on the instructions, the MLA transferred ₹1 lakh through the digital payment platform PhonePe, expecting that it would benefit the applicants.

Fraud uncovered after verification

Doubts arose after the transaction, prompting the MLA to verify the claim with the actual Finance Ministry official. The official denied making any such call and clarified that no such scheme or payment request existed.

Complaint filed, probe underway

Realising he had been cheated, the MLA lodged a complaint with the Cyber Crime Wing of the Jubilee Hills Police Station. Police have registered a case and launched an investigation to trace the accused.