Indian Army Officer Duped of Rs 55 Lakh in IPO Scam; Cybercriminals Impersonate Hyderabad-Based Firm

In a shocking case of cyber fraud, a technical officer from Khammam, currently serving in the Indian Army in Jammu and Kashmir, lost Rs 55 lakh to cybercriminals who lured him with promises of high returns on stock market investments. The scam, which unfolded over several months, involved the misuse of the name of a legitimate Hyderabad-based firm, BN Rathi Securities Ltd.

According to the complaint filed on Thursday, the scam began in January when the officer received unsolicited WhatsApp messages offering high returns on investments in IPOs. Though he initially ignored the messages, he eventually responded in February, seeking more information.

On February 10, the officer was added to a WhatsApp group named “BVIP29 BN Rathi Internal Group”. He verified the legitimacy of the firm by searching “BN Rathi Securities Ltd.” on Google, finding an address and contact numbers in Hyderabad. Upon calling, he was falsely assured that the firm was genuine and active in stock trading.

The group administrator, identified as Hersh Tolani, regularly shared investment tips and IPO opportunities. On March 10, the officer began using a trading app recommended by Tolani, through which he made multiple investments over time.

The fraud came to light on May 5, when Tolani asked the officer to transfer an additional Rs 3.8 lakh. Suspicious of the repeated demands, the officer contacted BN Rathi Securities directly. To his shock, the company clarified that they do not operate any WhatsApp groups and that cybercriminals had been misusing their name and brand to deceive investors.

Realizing he had been scammed, the officer lodged a formal complaint. The Telangana Cyber Security Bureau (TGCSB) and the Cyber Crime Police Station (CCPS), Khammam, registered a case under Sections 61(2) and 318(4) of the Bharatiya Nyay Sanhita (BNS), and Section 66D of the Information Technology Act, which deals with impersonation and cheating through digital means.

Authorities are now investigating the scam and tracking the digital trail to identify the culprits behind the sophisticated fraud.