Bogus investment platforms pave way for fraudsters to thrive

‘Power Bank app’ and ‘Tesla Power app’ are one of the few bogus investment platforms that scams its users into investing large sums of money.

Bogus investment platforms pave way for fraudsters to thrive

In the past few months, the cyber crime wing of Chennai’s Central Crime Branch is seeing a sudden spike in the number of online financial fraud cases being registered. The mobile apps like ‘Power Bank app’ and ‘Tesla Power app’ are luring in people with flashy and promising high interest rates for investments. The department so far has received 40 such complaints who claim to have lost lakhs of rupees to several bogus apps within the duration of two months. These fake investment platforms advertise themselves on social media platforms like, Telegram and WhatsApp and promise an interest rate of 5%-10% on investment either on daily or weekly basis.

Investigative officers said, explaining the modus operandi of these fraudsters, in the first two weeks they ensure that the customer receives good return on investment (ROI). After the customer gets confident and invests a large sum they, switch off the mobile number they used to correspond with the customer and make a run for it.