Avadi police bust 'stock trading office' operating from 10x10ft room in Gujarat
The group members were made to download an app, CHE-SES, and were asked to buy the Initial Public Offer (IPO) stock of a company named Motisons Jewellers Pvt Ltd.
The 'stock trading firm' functioning from a room in Anand district, Gujarat; accused Premaram who was arrested (right)
CHENNAI: An advertisement on Facebook newsfeed that promised riches through online trading, a “VIP” WhatsApp group for investors, and the bank account of a mason who lives in a tiny, 10x10 feet room in a row house in Anand district in Gujarat. That was all that a gang of conmen needed to siphon off at least Rs 7.5 crore from several people across the country, including a GST officer from Chennai, through stock trading scams.
Investigating a complaint by Manoranjan Kumar (35) of Mangadu, a GST official, a team from Avadi police arrested an accused, Premaram (43), from Gujarat on Sunday and brought him back to Tamil Nadu.
In the first week of December, Manoranjan was going through his Facebook feed when he spotted the advertisement. He clicked on it, which led to him being contacted by a woman, who added the official to a WhatsApp group named "Ashish Shah's Dalal Street Trading Champions: VIP-2".
The group members were made to download an app, CHE-SES, and were asked to buy the Initial Public Offer (IPO) stock of a company named Motisons Jewellers Pvt Ltd.
Manorajan had bought 7,000 shares, each worth Rs 52, and then further bought shares of RBZ Jewellers Ltd, Tata Investment, and Sahara Maritimes on the advice of the scamsters who ran the VIP WhatsApp group.
In a matter of three weeks, Manoranjan transferred over Rs 38.8 lakh to the bank accounts that the gang provided in the WhatsApp group. It was only after finding out that the money could not be withdrawn that he realised that he was being taken for a ride and filed a police complaint.
Avadi CCB teams went through the details of the bank accounts to which the GST official transferred money and traced the account holder to Anand district in Gujarat. A team headed by CCB inspector V Mahalakshmi camped in Gujarat for five days and arrested the accused, Premaram.
"Premaram, a mason, is originally from Rajasthan. He had given the bank account details of workers under him to the gang and took a commission," said a senior police officer. He was produced before a magistrate and remanded in judicial custody.
Police said that they would continue the investigation to trace others who are part of the network.