Crypto Scam Mastermind: Doctor Behind ₹209 Crore Cyber Fraud Exposed

Post Views: 20

Transnational Crypto Scam Uncovered: Doctor Masterminds ₹209 Crore Fraud

A massive online investment scam involving ₹209 crore has been busted by the Jammu and Kashmir Police, with the arrest of nine individuals, including the alleged mastermind, an MBBS doctor from Haryana. The scam, which promised unusually high returns on cryptocurrency investments, was orchestrated through a complex network of fake websites, mule accounts, and layered bank transfers.

Modus Operandi

According to investigators, the scam began with the creation of bogus investment portals on social media and search engines. These portals lured victims with promises of risk-free returns through cryptocurrency and coin trading schemes. Once funds were invested, the money was routed into bank accounts opened in various locations, including Budgam, Srinagar, Ganderbal, and Baramulla. The funds were then rapidly moved through multiple layers to other states and abroad, obscuring the money trail.

Investigation Reveals

The police have identified 835 bank accounts linked to the operation, with verified transactions worth ₹209 crore in 290 accounts. However, officials estimate that the total fraud could exceed ₹400 crore as the investigation expands. The probe has revealed that the main accused, Ekant Yogdutt, alias “Dr Morphine,” learned cyber fraud techniques while studying in the Philippines and later established links with Chinese nationals.

Network of Local Operatives

The scam relied on a network of local operatives in Kashmir who mobilized bank accounts, facilitated fund transfers, and communicated with investors. The operatives recruited economically vulnerable individuals, who were paid ₹8,000 to ₹10,000 per month to rent out their bank accounts and ATM cards. These mule accounts were used to receive and transfer defrauded funds.

Bank Insiders Involved

The investigation has also uncovered suspected involvement of certain bank insiders who provided QR codes linked to the mule accounts, which were embedded into the fake investment websites. The gang operated Telegram channels where new QR codes were regularly uploaded, allowing the fraud to continue without disruption.

Warning to the Public

The police have warned the public against online platforms that promise unusually high or guaranteed returns, especially those linked to cryptocurrency trading. Citizens have also been advised not to rent out bank accounts, ATM cards, or QR codes for monetary incentives, as this can lead to criminal liability.

Crackdown on Digital Financial Fraud

The operation is part of a broader crackdown aimed at dismantling mule-account networks and fake investment platforms driving large-scale digital financial fraud. Authorities are taking strict action under cybercrime, money laundering, and criminal conspiracy laws. As the investigation continues, more arrests are likely, and the international money trail is being traced to identify additional associates.