Gujarat share-trading scam: Two held in Junagadh, fraud links cross ₹4 crore
Synopsis
A routine share-trading fraud complaint in Surat unravelled a far larger web: two Junagadh men arrested for duping a victim of ₹42.98 lakh turned out to have bank accounts allegedly linked to ₹4.03 crore in cyber fraud across multiple states — exposing the layered commission-based networks that power India's online investment scam ecosystem.
Key Takeaways
Surat Cyber Crime Cell arrested two men from Junagadh, Gujarat on 11 August over an alleged online share-trading fraud.
The complainant was duped of ₹42,98,934 after being added to a WhatsApp group promising high trading returns.
Accused Gautamkumar Lathegar, 33 , allegedly lent his Union Bank of India account for fraud; transactions of ₹18,49,552 were traced through it.
Accused Sachinkumar Teta, 42 , allegedly passed the account to an absconding third party for a commission of ₹15,000 .
A Coordination Portal check linked the account to three complaints in different states , with combined fraud exposure of ₹4,03,00,157 .
An absconding accused remains at large; police are continuing their investigation.
The Cyber Crime Cell of Surat City, Gujarat, on Tuesday, 11 August arrested two men from Junagadh in connection with an alleged online share-trading fraud in which a complainant was duped of ₹42.98 lakh. A subsequent check of the accused's bank account through the Coordination Portal revealed alleged links to three additional complaints filed across different states, with the combined cyber fraud exposure exceeding ₹4.03 crore.
How the Fraud Was Carried Out
According to the Cyber Crime Cell, the accused allegedly created a WhatsApp group and lured the complainant with promises of high returns on share trading. The victim was persuaded to obtain a trading ID and subsequently transferred a total of ₹42,98,934 to multiple bank accounts purportedly meant for share investments. When the money was not returned, the complainant contacted the Cyber Crime Helpline number 1930 and filed a formal complaint.
A case was registered under Sections 318(4), 336(2), 338, 336(3), 340(2), 61(2) and 3(5) of the Bharatiya Nyaya Sanhita, 2023, along with Section 66(D) of the Information Technology Amendment Act, 2008.
Who Was Arrested
Acting on instructions from senior officials, Police Inspector A.M. Mori assembled a team that conducted a technical investigation and travelled to Junagadh, where the two suspects were traced and apprehended.
The first accused, Gautamkumar Lathegar, 33, a casual labourer residing near Jawahar Road, Junagadh, allegedly received ₹2 lakh from the present case through his Union Bank of India account. Investigators found transactions totalling ₹18,49,552 routed through that account. Police allege he handed over the account to the co-accused on a commission basis for use in cyber fraud.
The second accused, Sachinkumar Teta, 42, a real estate broker residing in Meghani Nagar, Junagadh, allegedly passed Gautamkumar's bank account to an absconding accused in exchange for a commission of ₹15,000, according to police.
Wider Fraud Network Uncovered
A check of the arrested accused's bank account on the Coordination Portal flagged its alleged involvement in three complaints registered in different states. Police stated that those complaints together involved cyber fraud amounting to ₹4,03,00,157 against victims across the country. An absconding accused linked to the network remains at large, and investigators are reportedly pursuing further leads.
Cyber Safety Advisory
The Cyber Crime Cell has urged citizens not to act on unsolicited messages promising returns through forex, share, or cryptocurrency trading without first verifying their authenticity. It has advised people added to WhatsApp or Telegram groups by unknown numbers to leave and block those contacts immediately. Authorities also cautioned against making large investments after receiving small initial profits — a classic confidence-building tactic used by fraudsters — and warned against transferring money to individuals met through social media or matrimonial websites.
Point of View
They rent bank accounts from low-income individuals — paying commissions as small as ₹15,000 — creating a diffuse liability chain that slows enforcement. The fact that a single account flagged ₹4 crore in fraud across multiple states points to the inadequacy of state-level silos in investigating cyber crime. The Coordination Portal is a step forward, but inter-state prosecution remains slow. Until account-mule networks are treated as organised crime rather than peripheral fraud, arrests at the periphery will keep outpacing arrests at the centre.
NationPress
12 Aug 2026
Frequently Asked Questions
What is the Gujarat share-trading scam and who was arrested?
The Surat Cyber Crime Cell arrested two men — Gautamkumar Lathegar and Sachinkumar Teta — from Junagadh on 11 August in connection with an online share-trading fraud in which a complainant lost ₹42.98 lakh. Investigators subsequently found that bank accounts linked to the accused were allegedly connected to a wider cyber fraud of over ₹4 crore across multiple states.
How did the fraudsters operate?
The accused allegedly created a WhatsApp group and persuaded the victim to obtain a share-trading ID by promising high returns. The complainant was then induced to transfer ₹42,98,934 to various bank accounts. When the money was not returned, the victim filed a complaint with the Cyber Crime Helpline (1930).
What is the total fraud amount linked to the accused?
Beyond the ₹42.98 lakh cheated from the immediate complainant, a Coordination Portal check revealed that an account linked to the accused was allegedly involved in three other complaints across different states, with combined fraud totalling ₹4,03,00,157.
What role did each accused play?
Gautamkumar Lathegar allegedly provided his Union Bank of India account for use in the fraud on a commission basis. Sachinkumar Teta allegedly passed that account on to an absconding accused in exchange for a commission of ₹15,000, according to police.
How can people protect themselves from such online trading scams?
The Cyber Crime Cell advises citizens to verify the authenticity of any unsolicited trading offer before investing, leave and block unknown WhatsApp or Telegram groups, and avoid making large investments based on small initial returns. People are also cautioned against transferring money to individuals met through social media or matrimonial platforms.
