Did Odisha Court Really Sentence a Fraudster to Seven Years in a Rs 1.13 Crore Cyber Fraud Case?
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Synopsis
In a significant ruling, Odisha's Balasore court sentenced a fraudster to seven years of rigorous imprisonment for defrauding investors of Rs 1.13 crore through a fake cryptocurrency website. This case highlights the urgency of addressing cyber fraud and protecting innocent individuals from scams.
Key Takeaways
- Seven years imprisonment for cyber fraud.
- Victims misled by fake cryptocurrency schemes.
- Importance of regulatory measures to combat fraud.
- Large sums of money lost due to deceptive practices.
- Need for public awareness regarding investment risks.
Bhubaneswar, April 30 (NationPress) The designated court operating under the OPID Act in Odisha's Balasore has sentenced a fraudster to seven years of rigorous imprisonment due to involvement in a cyber fraud amounting to Rs 1.13 crore.
The convicted individual, Nilesh Kumar Kar, is also required to pay a penalty of Rs 2.35 lakhs. Should Kar fail to settle this fine, he will face an additional two years of rigorous imprisonment.
Kar was apprehended on April 6, 2023, in Balasore following a case lodged by the Economic Offence Wing (EOW) of the Odisha Police, instigated by a complaint from Mahamanya Jena from the Sahadevbkhunta area.
The complainant alleged that Kar had persuaded him to invest in a platform known as ‘Cloud-Fut’, promising lucrative returns. Acting on Kar's inducement, the victim invested Rs 2,13,038 between January and March 2023.
“When the expected return of Rs 50,57,117 was anticipated in his 'Cloud-Fut' account, the website abruptly ceased operations, preventing the victim from withdrawing his funds,” the EOW reported.
Moreover, it was revealed that the ‘Cloud-Fut’ site was a fraudulent entity designed for cryptocurrency mining, requiring a minimum investment of Rs 665 to join and promising returns of Rs 1487.25 after 37 days.
Investors were led to believe they could earn around Rs 40 daily on their investments, and even received Rs 1.75 Paisa daily just for logging in.
“Nilesh Kar, the mastermind behind this fraudulent scheme in Balasore district, misled over 400 individuals across Odisha, including the complainant, to join the website. He presented a fabricated authorization letter from the RBI and a fake appointment letter as the District leader of ‘Cloud-Fut’ to gain their trust,” the EOW added.
After amassing crores of rupees, the website and funds disappeared, leaving investors distraught. Consequently, Kar and his accomplices defrauded the people of Odisha of Rs 1.13 crores.
Investigations revealed that the fraudsters were deceiving unsuspecting victims nationwide through the false ‘Cloud-Fut’ website under the pretense of cryptocurrency investments.
The accused were essentially orchestrating an online Ponzi scheme disguised as a crypto investment opportunity.
Point of View
It is crucial to emphasize the growing threat of cyber fraud that targets unsuspecting investors. This case in Odisha underscores the need for increased vigilance and regulatory measures to protect individuals from deceptive schemes masquerading as legitimate investment opportunities.
NationPress
15/06/2025
Frequently Asked Questions
What was the fraud amount in the Odisha case?
The fraud amount involved in the case was Rs 1.13 crore.
What was Nilesh Kumar Kar sentenced to?
Nilesh Kumar Kar was sentenced to seven years of rigorous imprisonment.
What type of scheme was involved in this case?
The scheme was a fraudulent cryptocurrency investment operation.
How much fine was imposed on the convict?
A fine of Rs 2.35 lakhs was imposed on Nilesh Kumar Kar.
How many people were reportedly deceived?
Over 400 individuals were reportedly deceived in this fraud case.
