Hyderabad: Cyberabad Cyber Crime Police have unearthed a scam and arrested the owner of a firm from Bengaluru in connection with this. Some techies from Hyderabad had invested several lakhs in the firm expecting huge returns. Police found that the suspect B.M. Jagadeesha, 32, floated the firm in the name of a dead person and used an office address in Germany to register his website address, which has ‘.eu’ in it.
The suspect also used multi-level marketing techniques offering commission to investors and asked them to bring in more people as investors. He then suddenly stopped paying their commission and the promised profit. Police found that the suspect, hailing from Hunsur in Karnataka, had earned around Rs 2 crore from the scam. The investigation officials also found that the suspect was earlier involved in a real estate fraud case in Bengaluru.
According to the investigation official, Md. Riyazuddin, Cyber Crime Inspector, the suspect had told his victim that the firm is owned by German nationals and he was working for them. “A techie working in a reputed IT firm in Hyderabad approached us and lodged a complaint. He had invested over Rs 18 lakh in the company expecting a huge return as commission and profit. A few others from Hyderabad, other parts of Telangana and Andhra Pradesh also invested money,” said the Inspector.
Jagadeesha, a grauduate convinced the investors with his website www.3gcoin.eu that his firm was doing server mining (a method for transaction processing, recording, and security of digital currencies like bit coin and others). “He used the credentials of K. Nagaraju, who had died long back, to register his firm. More than 500 people must have invested in this firm believing in his lies. We have now taken down the website and sent messages to the investors to approach the police in their respective states,” said the Inspector.
