70,000 Investors May Have Been Duped

Police have arrested 12 people in connection with an alleged online investment scam that reportedly cheated thousands of people across several southern Tamil Nadu districts of crores of rupees by promising high returns linked to the dollar, while the bank accounts of those arrested have been frozen.
The alleged fraud surfaced after the investment link suddenly stopped functioning shortly before August 20, leaving investors from Madurai, Virudhunagar, Theni, Dindigul, Ramanathapuram and Sivaganga unable to access their investments.
Protests and complaints followed, with affected investors allegedly surrounding the homes of people associated with the scheme, staging road blockades and, in one incident, damaging a police vehicle during a confrontation.

Investigation and Police Action

Ranjith, Arun, alleged agents, Madurai District Cyber Crime Police, local police authorities
Thousands of investors reportedly affected, investment link disabled, large sums allegedly lost
Complaints filed, house protests, road blockades, stone-pelting incidents, damage to property and a police vehicle
FQL and VJ investment applications, proposed investments of Rs.50,000 and Rs.1 lakh, police estimate that more than 70,000 people may have invested

Ranjith, a resident of Kattaiyanpatti near Thiruvathavur in Madurai district, had previously worked abroad and returned to his native village about two years ago, according to the information provided. He and his friend Arun allegedly introduced investment schemes through online applications identified as FQL and VJ.

Investors were reportedly told that depositing Rs.50,000 in one application and Rs.1 lakh in another would result in the amount being converted into dollars. They were allegedly further told that repeatedly clicking links or messages received through the applications would increase the value of their dollar holdings.

Believing these claims, thousands of people from Madurai, Virudhunagar, Theni, Dindigul, Ramanathapuram and Sivaganga are said to have invested large sums of money. The available information states that investors were not provided proper receipts or documentary proof for the amounts deposited.

The investment link reportedly stopped functioning suddenly before August 20. Ranjith and Arun subsequently went missing from their known locations, leaving investors alarmed. Several affected people gathered outside Ranjith’s house in Kattaiyanpatti and later lodged a complaint at the Melur police station.

Following directions from the district police, affected investors also approached the Madurai Superintendent of Police’s office, the Cyber Crime Wing and the police stations concerned to submit complaints.

More than 300 affected investors reportedly staged a road blockade near Melur on a four-lane highway. Police intervened and dispersed the protesters. Another group allegedly surrounded Ranjith’s house in Kattaiyanpatti and threw stones, causing damage to the property.

Investors who came to the Alanganallur police station to lodge complaints also reportedly staged a road blockade. The incidents have added to the tension surrounding the alleged investment fraud.

In Dindigul district, affected people reportedly surrounded the homes of Ramesh and Vijay, who were allegedly acting as agents for the scheme, in Kasampatti village near Natham. Police arrived at the location to provide security, but stones were reportedly thrown at the alleged agent despite the presence of officers. A police vehicle was also damaged in the incident.

A case has been registered by the Madurai District Cyber Crime Police and an investigation is under way. Police have said that more than 70,000 people may have invested in the scheme and that several victims allegedly invested amounts ranging from Rs.1 lakh to more than Rs.5 lakh.

The information provided also states that 12 people have been arrested, while two others, including the alleged key figures behind the scheme, are being sought.

Police have advised affected investors to submit complaints through the appropriate channels along with transaction records and other available evidence, while the investigation into the alleged financial fraud continues.