Hyderabad: 2 Held for Cheating 3k People of Rs 850 Crore

 Hyderabad: Two persons were arrested for allegedly cheating at least 3,164 people of Rs 850 crore in a ponzi scheme, on Wednesday. The scam came to light after victims reached out to the Cyberabad EOW on July 29. Police apprehended the accused, Gaddam Venugopal, director of A.V. Solutions and Srinivas Analytical Pvt. Ltd., and Shreyas Paul, 55, employee in Hyderabad on August 19.

Police said the network engaged over 20 consultants and agents across major cities along with technical developers and website administrators and operated through companies IIT Capital Technologies with a fake registered address in Madhapur, Hyderabad. A.V. Solutions, Srinivas Analytics Pvt. Ltd. and Trade Bulls Technology Pvt. Ltd. have developed fraudulent websites included www.iitstockmarket.com, www.myshareprofit.com, www.avgroups.org, www.fehufin.com, www.tradeonnumbers.com, www.smalgo.com, www.srimaata.com and www.maheshwaraadvisoryservices.com.

Investigators said the accused created false credibility by projecting fake NISM, NSE and BSE certifications, organising investment seminars in Andhra Pradesh and Telangana, and maintaining premium offices to appear legitimate, while targeting middle-class families, retired individuals and working professionals through referrals and psychological profiling. “They promised 7 per cent monthly returns, amounting to 84 per cent annually, through fake AI-based predictions and designed dashboards that displayed fabricated profits, adopting a Ponzi structure in which 20 to 30 per cent was used for limited trading, 40 to 50 per cent was paid to earlier investors, and the balance siphoned off for personal gain,” the police said.

The fraud was enabled through 21 mule bank accounts, with layering techniques to camouflage fund flows. The funds then invested in real estate, gold and luxury vehicles, while also operating international laundering channels, including those based in Dubai. Between 2022 and 2025, the accused collected Rs 850.59 crore, returned Rs 618.23 crore as partial payouts and retained Rs 232.36 crore; of this, A.V. Solutions under Venugopal collected Rs 441.52 crore from 2,388 victims, returned Rs 337.16 crore and retained Rs 104.36 crore, while IIT Capital Technologies under Gaddam Venkata Rao collected Rs 409.07 crore from 776 victims, returned Rs 281.07 crore and retained Rs 128 crore.

Police seized two cars, 11 laptops, three mobiles, backend trading access, a 3,164-customer database, 14 cheque books, 30 promissory notes worth Rs 3.37 crore, property papers, company seals, and flats in Manikonda and Happy Homes acquired through benami transactions. Investigators said the perpetrators systematically deleted digital records, threatened victims who attempted to complain, and shut down websites under regulatory scrutiny.

The Cyberabad EOW urged citizens to not fall for offers that promise unrealistic returns. Victims have been asked to contact the Cyber Crime Helpline (1930), the EOW Cyberabad at eow-cyberabad@tspolice.gov.in, or SEBI at scores.sebi.gov.in.