Noida man arrested by Hyderabad police for multi-state stock fraud, Rs. 14.6L loss
Hyderabad: The Hyderabad cybercrime police have arrested a man from Noida, Uttar Pradesh, who was involved in a stock trading fraud.
The accused, identified as Shiva Shankar (27), a data entry operator from Noida, Uttar Pradesh, was apprehended under Sections 66(C) and 66(D) of the IT Act and various other provisions related to cheating and fraud. Shankar, who is accused of involvement in two cases across India and one case in Telangana, allegedly defrauded victims by offering fake stock market investment opportunities.
Case Details
A 35-year-old private employee from Hyderabad became a victim of the scam after receiving a WhatsApp message from an unknown number (+917044970887). The message promised lucrative returns from stock market investments, claiming to offer institutional stocks, OTC stocks, and Samco group stocks. The fraudster encouraged the victim to join a WhatsApp group, where they further assured high profits in a short period.
Convinced by the promises, the victim transferred a significant amount of money into the account provided by the scammers. The fraudsters claimed that the victim’s investments were in bulk stocks and IPOs that would yield 20% returns. The victim saw apparent profits in the application used by the scammers. However, when he attempted to withdraw the profits, the fraudsters claimed the funds were still tied up in IPOs and demanded additional investment to process the withdrawal.
When the victim insisted on a refund, the scammers blocked him from all communication channels, and he realized it was a scam. The total loss amounted to ₹14,63,046.
Cyber Crime Unit Arrests Accused in Stock Trading Fraud Case
Hyderabad Cyber Crime Police have arrested Shiva Shankar, a 27-year-old data entry operator from Noida, involved in a major investment and trading fraud. The accused was apprehended in connection with a case… pic.twitter.com/dlWdOAxkyx
— Hyderabad Mail (@Hyderabad_Mail) April 1, 2025
Modus Operandi
The accused and his accomplices used several tactics to deceive victims:
1. They approached victims through social media platforms like WhatsApp, Telegram, and others.
2. Promised high returns in a short time from stock market investments.
3. Initially showed substantial returns in the victim’s account.
4. Allowed partial withdrawals to build trust.
5. Lured the victim to invest more by promising huge profits.
6. Blocked withdrawals once the victim was heavily invested.
Shankar's involvement has been observed in a case in Tamil Nadu as well. The police have seized two mobile phones, four cheque books, and two debit cards in connection with the investigation.
The arrest was made by the Cyber Crime team under the leadership of Inspector of Police K. Satish Reddy, with the support of SI P. Suresh, and Constables Rajesh Kumar, Ramu, and Mallesham.
Public Advisory
Authorities have issued a warning to the public to be cautious of online stock trading offers promising high returns in a short time. They advise verifying such investment opportunities before sharing any personal or financial information. Fraudsters commonly operate through social media platforms and fake investment websites or apps.
These fraudulent schemes are not endorsed by SEBI (Securities and Exchange Board of India), and investors should be cautious of profit screenshots and promises of high returns. Victims of similar cybercrimes can seek assistance by dialing 1930 or visiting cybercrime.gov.in.
