Hyderabad: How 43-year-old man ran bogus investment scheme to cheat gullible investors of Rs 4.36 Cr
Authorities have urged citizens to verify credentials before investing
By - Newsmeter Network
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Hyderabad: Special Zonal Crime Team (SZCT) of the Central Crime Station (CCS), Detective Department (DD), Hyderabad, arrested a 43-year-old man for running a bogus investment scheme that allegedly cheated several unsuspecting investors of nearly Rs 4.36 crore.
The accused, Namani Karthik, promised high monthly returns under the guise of a stock-trading business operated in the name of Explore Technologies.
Retired professor among victims
DCP (CCS, DD) N Swetha said that the case came to light after D. Siva Kumar, a retired Associate Professor, lodged a complaint stating he had invested Rs 1.35 crore after the accused assured him 6% monthly returns along with 10–20% profits.
Karthik reportedly presented brochures, fake bond papers, and falsely claimed to be a Data Science Manager at Ernst & Young to build credibility.
Soon after collecting the money, he stopped making payments and went incommunicado, prompting the victim to approach the police.
Pattern of deception uncovered
Investigations revealed that Karthik had duped multiple individuals using the same pattern, false claims, guaranteed returns, and misleading professional credentials. Police registered a case under Sections 316(4) and 318(4) of the Bharatiya Nyaya Sanhita (BNS), and Section 5 of the Telangana Protection of Depositors of Financial Establishments (TGPDFE) Act
Accused tracked after months of evasion
According to CCS officials, Karthik absconded soon after the complaint was filed and frequently changed his location to avoid being traced. After continuous technical surveillance and intelligence-based tracking, he was arrested on November 22, 2025, and subsequently remanded to judicial custody.
Career background and Modus Operandi
Karthik, an MCA graduate from Mancherial district, previously worked in software firms and government departments. He later floated the unregistered investment platform and collected funds from individuals by portraying it as a legitimate trading venture.
He also attempted to shield himself from legal action by reportedly filing an insolvency petition before going underground. Police said efforts are underway to identify additional suspects and more victims linked to the fraud.
Public Advisory
Authorities have urged citizens to verify credentials before investing and to avoid individuals or companies promising extraordinary or guaranteed financial returns.
