J&K police busted a Rs 209 crore international internet investment scam on February 16. The kingpin, Ekant Yogdutt alias Dr Morphine, an MBBS doctor from Hisar, Haryana, is among the nine arrested. The probe began after a Ganderbal complaint.
Police have traced 835 bank accounts linked to the scam, with confirmed transactions in 290 accounts, revealing investor deposits totalling Rs 209 crore across India. Authorities say the total amount could exceed Rs 400 crore after a full investigation.
The probe uncovered several fraudulent online investment platforms, including paisavault.com, which lured victims with promises of high returns from coin trading advertised on social media and search engines. The funds were funnelled into local bank accounts held by individuals in Budgam, Srinagar, Ganderbal, Baramulla, and other areas.
To cover their tracks, the scammers quickly moved the money out of J&K through multiple transactional layers, including cross-border transfers.
During his MBBS studies in the Philippines, Ekant Yogdutt reportedly honed cyber fraud skills and maintained contact with Chinese nationals. He coordinated with Kashmiri local agents who acted as account mobilisers and regional facilitators, targeting below-poverty-line (BPL) account holders and convincing them to hand over ATM cards and bank accounts for Rs 8,000–10,000 per month.
Some bank employees also aided the scheme by providing QR codes linked to these accounts, which were then posted on fake investment websites. The scammers used Telegram groups and channels to share new QR codes. Whenever cyber units nationwide blocked accounts after complaints, the accused quickly created new accounts and uploaded fresh QR codes to continue the fraud.
Senior Superintendent of Police (SSP) Ganderbal Khalil Poswal said, “These fraudsters maintain Telegram channels where they upload new QR codes. Even when heavy transactions trigger account freezes nationwide, they promptly replace the codes to resume operations.”
Yogdutt was arrested in Delhi by Ganderbal police while returning from China, while others were apprehended from different areas of the valley. Investigations are ongoing to trace the full money trail and initiate property attachment proceedings against the accused.
The scam, involving a global, multi-crore online investment network with fake trading platforms and phishing operations, was uncovered following a complaint from a Safapora resident at Ganderbal Police Station. A First Information Report (FIR) was registered under sections 3(5), 61(2), 316(4), 318, and 111 of the Bharatiya Nyaya Sanhita (BNS) and section 66 of the IT Act for online cheating and identity theft.
Police have warned the public against renting out bank accounts for profit and urged vigilance against fraudulent investment websites promising high returns. Victims are advised to contact the toll-free hotline 1039 or file complaints via the official cybercrime portal at cybercrime.gov.in.
