Mumbai: Cops bust gang using fake SIM cards for trading fraud, arrest 8

Representational Image

The central cyber police of Mumbai Crime Branch have arrested eight people in connection with an investment trading fraud. Officials said that the accused are SIM card dealers who supplied over 30,000 SIM cards under fake names and used the information to defraud people.

Police have identified the accused as Mahesh Kadam, a resident of Diva; Rohit Yadav, a resident of Bhandup; Sagar Thakur from Wadala; and Raj Arde from Kalyan. Police said that all are associated with Vodafone India's DSE Handloom Emporium as employees.

Another accused, Gulabchand Jaiswar from Kandivali, was employed with Airtel's DSE, while Mahesh Pawar, a resident of Ghatkopar, worked for Vi. Two other accused, identified as Usmanali Shaikh and Abubakar Yusuf, are shop owners in Colaba.

Officials said that the accused procured SIM cards using forged documents, which were later used to defraud people.

"The investigation has revealed that the accused sold around 30,000 SIM cards in the past year without any KYC, many of which were provided to foreigners and are suspected to have been used in cyber crimes," said Datta Nalawade, DCP Cyber.

The gang was busted following an investigation into the matter after a complaint by a businessman from Prabhadevi who approached the Cyber Cell after allegedly losing over ₹51 lakh in a trading investment scam.

The victim, identified as Amembal, encountered an Instagram advertisement promising high returns on stock market investments, which led him to join a WhatsApp group named - MSFL Stock Chart 33.

The group admin identified as Juhi V Patel along with Dhruv S Marwari, both supposed representatives of a brokerage firm, allegedly enticed the businessman into investing in share trading through multiple bank transactions.

According to Amembal, he was persuaded to create a virtual trading account, and initially, small returns were credited to his bank account, which built his trust. He then made larger investments totaling ₹51.36 lakh, with funds transferred to various bank accounts provided by Patel and Marwari.

However, when Amembal tried to withdraw his returns, he was repeatedly stalled, with demands for additional payments supposedly for IPO requirements and commission fees.

The Cyber Cell's investigation revealed that the WhatsApp accounts used by the suspects were tied to phone numbers registered under fake identities, complicating the trace.

"Investment frauds are on the rise, and people should exercise caution before participating in any groups claiming to provide investment tips without SEBI registration. Their details can be checked on the SEBI website," said DCP Nalawade.