Who Were the Two Arrested for Stock Market Fraud?
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Synopsis
In a decisive action by the Cyber Cell of Delhi Police, two suspects were arrested in connection with a multi-crore stock market scam that defrauded victims of Rs 6 crore. This case highlights the growing threat of organized cyber fraud in India.
Key Takeaways
- Two suspects arrested for involvement in a multi-crore stock market scam.
- Victims lost nearly Rs 6 crore through fraudulent schemes.
- Accused acted as account holders for cyber syndicates.
- Their operations involved coercion and threats against victims.
- Significant connection to the National Cybercrime Reporting Portal.
New Delhi, Sep 19 (NationPress) In a significant strike against cyber-related financial crimes, the Cyber Cell of the Delhi Police Crime Branch apprehended two primary suspects involved in a high-stakes stock market fraud scheme. The victims suffered losses amounting to nearly Rs 6 crore through fraudulent IPO funding and deceptive stock market initiatives. The arrested individuals, Kulwant Singh and Devender Singh, acted as “account holders” for organized cybercriminal groups.
These individuals provided bank accounts belonging to victims to interstate cyber syndicates, facilitating the diversion and laundering of funds through various channels. The syndicates attracted investors with misleading promises of IPO funding and lucrative stock market opportunities.
The accused facilitated illicit transactions totaling ₹20 lakh (part of the ₹6 crore) through their Bank of Baroda account registered under Akhil Bhartiya Gareeb Jan Seva Trust. This Trust was officially registered as an NGO/Trust, and a Current Account was opened for banking operations. This account was identified as being linked to 10 complaints on the National Cybercrime Reporting Portal.
Their method of operation involved enticing victims with fraudulent trading applications and encouraging them to join these groups with the expectation of financial returns. The syndicates reached out to potential investors via social media and WhatsApp.
When victims attempted to withdraw their funds, they were threatened with coercion, being told that leaving the group would result in losing their investments. Furthermore, the funds were layered through multiple bank accounts to obscure their origins.
During the interrogation, the Crime Branch uncovered 30 first-layer bank accounts, including the Akhil Bhartiya Gareeb Jan Seva Trust (Bank of Baroda). This Trust's account served as a major laundering channel, with ₹20 lakh traced to this account to date.
Both accused continuously provided Trust/Current Accounts and full banking access to handlers for commissions, despite being linked to several NCRP complaints.
The suspects offered the registered Trust's Current Account to the fraud syndicate in exchange for monetary rewards — ₹30,000 per month for the account's use and a 5 percent commission on each transaction processed through the account.
These arrests unveil the extensive network of organized cyber fraud and disrupt vital financial channels that have been exploited to defraud citizens nationwide.
Point of View
It is crucial to recognize the profound impact of cyber fraud on our society. This incident underscores the need for heightened awareness and stringent measures to protect citizens from financial deception. Our commitment to informing the public about such threats remains unwavering, as we strive to foster a safer financial environment across the nation.
NationPress
20/09/2025
Frequently Asked Questions
What was the total amount cheated from victims?
The total amount cheated from victims was nearly Rs 6 crore.
Who were the accused in this fraud case?
The accused in this case were Kulwant Singh and Devender Singh.
How did the fraud syndicates operate?
The fraud syndicates operated by luring investors with false promises of high-return IPO funding and stock market schemes.
What was the role of Akhil Bhartiya Gareeb Jan Seva Trust?
The Akhil Bhartiya Gareeb Jan Seva Trust's account was used as a primary conduit for laundering funds, processing transactions linked to the fraud.
What measures are being taken against cyber fraud?
The Cyber Cell of Delhi Police is actively investigating and making arrests to combat organized cyber fraud.
