HYDERABAD: Police have arrested a 28-year-old fraudster who cheated people in the name of foreign exchange trade to the tune of Rs 4 crore.
Addressing a press conference here, Cyberabad police commissioner S Prabhakar Reddy said Pavan Kumar, an MBA graduate from Delhi, was arrested by the Madhapur police in the national capital on December 16. He floated a website `4X Fund Management’ and gave advertisements in all local dailies stating `Earn 2.5% Daily, 100% Transperancy’ asking people to invest money in forex trading.
Pavan Kumar gave account numbers __ one of HSBC Bank and Laxmi Vilas Bank. He gave web address of www.ifctrading.com. People started transferring online amount to these two accounts, which were opened in the name of IFC Company Ltd in June 2010.
Will 2021 Redefine the Payments Space?Go to article >>
Pavan initially showed profits and later losses and hence, did not pay any amount to the investors.
He first floated `Fine Forex Trading Company’ in June 2009 and ran the business for six to seven months. He cheated people to the tune of Rs 2-3 crore, but managed to settle the issue by paying Rs 40 lakhs to the victims.
In the name of fund management, he collected nearly Rs 4 crore. He purchased a flat in Delhi for Rs 1.5 crore, an Endeavour vehicle worth Rs 28 lakhs and one kg gold. He also made fixed deposits worth Rs 35 lakhs in Laxmi Vilas Bank and Rs 25 lakhs in Dhanalaxmi bank. He had five PAN cards, 14 bank accounts and 10-12 debit cards, police added.