Stock Market Investment Scam: Kerala doctor couple loses Rs 7.65 crore to 2 Taiwanese Nationals

Alappuzha: In one of Kerala's biggest online scams, a doctor couple from Cherthala reportedly lost Rs 7.65 crore in a stock market investment scam after being lured with the promise of massive returns of Rs 39.72 crore - a fake amount that was shown as their profit. Following an extensive police investigation, two Taiwanese nationals were arrested, identified as the materminds behind the multi-crore fraud.

The arrested Taiwanese nationals were brought to Cherthala from Gujarat and were presented before the Cherthala First Class Magistrate Court on Wednesday. It is reported that the district Crime Branch team sought custody of the accused for further questioning. Since the case is linked to international fraud, the police have also sought the help of the central cyber wing. The transaction will be investigated in detail. 

Also read- Doctor falls victim to stock market investment scam, loses Rs 76 lakh

Initially, the fraud was carried forward by 5 Indians- one each from Karnataka and Rajasthan and the other three from Kerala. The biggest breakthrough in the case came with the identification of two masterminds behind the fraud—Taiwan nationals Wang Chun Wei, and Shen Wei Haw. The duo, based in Taoyuan City, Pingzhen district of Taiwan, were arrested by Gujarat police on Tuesday. Crime Branch officials revealed that a Chinese company was also behind the entire operation.

The fraud occurred between April and June 2024 when the doctor couple were lured into the stock investment scam that used the names of reputed companies like Invesco Mutual Fund and Goldman Sachs. These fraudsters posed as senior officials of these firms and convinced the couple to invest by promising huge returns.

Believing in their scheme, the doctor couple reportedly transferred Rs 7.65 crore and the fraudsters showed them a profit statement of Rs 39.72 crore in their internal equity account to force them into paying more. However, when they were pressured to increase their investment to Rs 15 crore, the couple grew suspicious and reported the matter to the police, TNIE reports. 

Following their complaint on June 20, 2024, the Alappuzha district police registered a case, launched an investigation and formed a special team to track down the culprits. Their investigation led to multiple arrests, including five individuals earlier identified as part of the scam. 

Among them were three Malayalees - Muhammad Anaz from Kozhikode, Pravesh from Puthoor, and Abdul Samad from Chevayoor - who were taken into custody in July last year. Later, the probe also led to the arrest of Bhagavan Ram Patel from Karnataka and Nirmal Jain from Rajasthan. 

As per the Onmanorama news report, Bhagawan Ram communicated with the doctor couple through WhatsApp and lured them by sharing investment and profit details through a group chat. He later sent them a link to transfer money. Nirmal, who constantly maintained communication with the two international fraudsters, converted the stolen money into cryptocurrency.

After the arrest of Bhagavan, the police team identified the role of Nirmal but he went into hiding. The special team from Alappuzha reached Pali and started a search for Nirmal, but found that he had abandoned the mobile phone and went to hide in a mutt, which is located around 50 km away from Pali. He was finally arrested on October 11, 2024.

Later, the case was handed over to the Kerala Crime Branch since the amount was huge in numbers. During their investigation, the agency interrogated Bhagavan and Nirmal who confessed to the involvement of the two international Taiwanese individuals. An investigation is underway to determine if more fraudsters are involved in the scam. 

Also read- Online Trading scam hits Coimbatore doctor, ends up losing Rs 15.50 lakh