Hyderabad Police Bust QNET-linked Pyramid Fraud; 5 Held from Goa Resort

Hyderabad: The Economic Offences Wing (EOW) of the Hyderabad Police has busted an alleged pyramid fraud linked to QNET, arresting five persons from a resort in Goa and seizing luxury vehicles and digital evidence.

The accused were apprehended on July 18 from a resort & spa in Candolim, North Goa, where they had gathered for a company event. Acting on a complaint of multi-lakh cheating, a special team from the Central Crime Station (CCS), Detective Department, tracked and arrested the suspects, all natives of Kerala.

The case has been registered under relevant sections of the Bharatiya Nyaya Sanhita (BNS), the Telangana State Protection of Depositors of Financial Establishments (TSPDFE) Act, the Prize Chits and Money Circulation Schemes (Banning) Act, 1978, and the IT Act.

According to police, the case came to light after a complainant alleged he was lured through Instagram with promises of a lucrative business opportunity. The accused allegedly induced him to travel to Bengaluru, where they introduced him to QNET (Vihaan Direct Selling India Pvt. Ltd.), projecting it as a legitimate luxury goods business.

Using fabricated success stories, presentations, and peer pressure tactics, the accused allegedly persuaded the victim to invest ₹7.5 lakh. He was further pressured to pay an initial ₹30,000 via UPI to secure a position and attend a leadership event in Goa.

Police said the victim later grew suspicious after consulting family and independently verifying reports about alleged money-circulation activities linked to the firm. He also alleged that the accused avoided written communication and insisted on calls and online meetings while urging secrecy.

During the Goa operation, some suspects attempted to flee on noticing police presence, but five accused were apprehended. They were later produced before a court in Mapusa, Goa, which granted transit remand for their transfer to Hyderabad.

Investigators said the accused played key roles in recruiting individuals, promoting the scheme through social media, Zoom sessions, and in-person meetings, and expanding the network using a binary model.

Police seized three along with five mobile phones containing chats, emails, and financial transaction records.

Efforts are underway to trace other absconding accused and identify additional victims linked to the alleged fraud network.