Hyderabad investor duped of Rs 2.8 cr in stock market fraud via fake IPO scheme

Synopsis

A Hyderabad man lost Rs 2.8 crore in a fake IPO scam after being lured through a Facebook ad and a fraudulent app called ASKMIN. Scammers built trust with fake profits before demanding more money. Authorities are investigating. Investors are urged to verify opportunities with official sources.

In a concerning case of a stock market fraud, a 37-year-old private sector employee from Asif Nagar, Hyderabad, fell prey to a stock market investment scam, losing Rs 2.8 crore in a fake Initial Public Offering (IPO) scheme, according to a Times of India report.

The victim was reportedly lured through a Facebook advertisement promising early access to upcoming IPOs. Upon clicking the link, he was redirected to a fraudulent web page controlled by scammers, who subsequently added him to a WhatsApp group where daily discussions around IPO investments took place.

The fraudsters, one of whom posed as a woman named "Priya," persuaded the victim to make multiple deposits between March 7 and April 21, 2025, using their app named ASKMIN.

To build trust, the scammers initially transferred Rs 4.9 lakh into the victim’s account as so-called "profits," encouraging him to invest larger amounts over time, according to the ToI report.

However, when the victim later attempted to withdraw his funds, the fraudsters demanded an additional 15% payment as a "processing fee." Despite showing him a fabricated account balance of Rs 32.3 crore on their fake app, the scammers continued to delay any actual payouts.

Realizing he had been duped as the demands for more money persisted, the victim approached the Hyderabad Cyber Crime police.

Based on the complaint, a case has been registered under various sections of the Bharatiya Nyaya Sanhita and the Information Technology Act, including charges of cheating, forgery, and operating an organized crime syndicate.

Authorities are currently investigating the network behind the ASKMIN platform.

This case serves as a reminder for investors to exercise extreme caution while engaging with online investment platforms and unsolicited offers on social media. Experts advise verifying the authenticity of any investment opportunity, particularly those related to IPOs, directly with exchanges and SEBI-registered intermediaries, and to avoid relying on links or promises made via unofficial channels.

Also read: Reliance Industries shares at inflection point. 6 reasons why FY26 could be the year of big re-rating

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)

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