Retired MNC Official Fall Victim to Stock Trading App Fraud, Loses Rs 10 Crore

A 65-year-old retired official from an Indian multinational conglomerate has fallen victim to a sophisticated stock trading app fraud, losing Rs 10 crore in the process. The victim, who served as the head of the administration and industrial relations department, was initially contacted by an unidentified woman in June, posing as a representative of a reputed stock broking firm.

The woman persuaded the retired official to join several WhatsApp groups where information about share trading and IPOs was shared. She also sent him a link to download the stock trading app, 'AR Trade Mobi.' The victim started investing through the app, transferring a total of Rs 9.94 crore between June and November.

Initially, the app showed that he was earning high returns, which further encouraged him to continue investing. However, he soon discovered that he could not withdraw his money. When he reached out to the so-called investment firm for assistance, they repeatedly asked him to transfer more money under various pretexts, arousing his suspicion.

Eventually, the fraudsters stopped responding to his messages and calls. Frustrated and concerned, the victim approached the Cyber Police in Shivajinagar, Mumbai. A First Information Report (FIR) was registered against the unidentified individuals, and the investigation is currently underway.

This incident highlights the growing threat of cyber fraud in the financial sector, particularly among retirees and other vulnerable groups. Financial literacy and awareness about potential scams are crucial to safeguarding one's investments. Regulators and law enforcement agencies are increasingly focusing on combating such fraudulent activities to protect investors and maintain the integrity of the financial market.

In the digital age, it is essential for individuals to verify the authenticity of investment opportunities and to exercise caution when dealing with unknown entities. Regular updates on financial news and staying informed about the latest scams can help investors make more informed decisions and avoid falling prey to such sophisticated frauds.