Hyderabad businessman loses Rs 3.24 crore in fake IPO scam

Hyderabad: A 44-year-old Hyderabad-based businessman lost over Rs 3.24 crore in a sophisticated cyber fraud involving fake stockbroking apps, WhatsApp groups and bogus IPO allotment promises.

WhatsApp group pitched as Bajaj Financial Securities

According to the complaint filed with the Telangana Cyber Security Bureau (TGCSB), on May 28, the victim received an invitation to join a WhatsApp group named ‘Bajaj Financial Securities Limited’. “Out of curiosity, I joined the group. The admins were introduced as Prisha Singh and her assistant Purav Jhaver,” he stated.

False block trade and IPO allotment assurances

The group regularly shared market trends and IPO tips to build credibility. Within days, the victim was advised to apply for block trades and upcoming IPOs, with the admins claiming they had access to institutional allotments that guaranteed profits.

They shared bank account details of firms they claimed were regulatory accounts, as per their procedures.

Transactions made, withdrawal blocked

“We made the first transaction on May 30 and the last on July 9. In total, I credited Rs 3,24,85,000,” the complaint said. Transactions appeared to reflect in the app interface. However, on July 8, when he attempted to withdraw the amount, the app showed a successful transaction, but no credit was received in his bank account.

15% demand to release funds

“When I contacted support via WhatsApp, they demanded an additional 15 per cent of the app balance to release my funds,” he said, realising he had been cheated.

Based on his complaint, TGCSB registered a case against Prisha Singh, Purav Jhaver, the so-called Bajaj Financial Securities finance team and others under Section 66D of the IT Act and Sections 318(4), 319(2), and 338 of the Bharatiya Nyay Sanhita.

An investigation is currently underway.