Socialtrade Rs 3700 crore scam:- Full details of Socialtrade scam. How to get your money back??

All About SOCIALTRADE Rs 3700 crore Scam [Online scam]

A 26-year-old BTech graduate tricked more than 6 lakh people into giving him their money through a Ponzi scheme that promised big returns for hitting ‘likes’ online. In a little over a year, Anubhav Mittal’s Social Trade perpetrated a fraud of Rs 3,700 crore, and gave a socialtrade Rs 3700 crore scam in return.

The scheme operated through a maze of dubious URLs (online links) sent to phones of subscribers that they were asked to click. Cheekily, these would sometimes be links to Facebook or Twitter profiles of other subscribers. A fake server was set up where these links would terminate.

The scam surfaced with the arrest of Mittal and his two aides — 40-year-old Shridhar Prasad, an MBA, and 25-year-old Mahesh Dayal, who served as tech support — from an office in Noida’s Sector 63 on Thursday.

They had floated a fake company called Ablaze Info Solutions Private Limited that operated from there.


The STF team that raided the office found 250 passports, purportedly of some high performers and employees of the fraudsters, who were to be rewarded with a trip to Australia.

The investigation also led police to Rs 520 crore deposited in 12 accounts of the company registered in Canara Bank, Kotak Mahindra Bank, Yes Bank and Axis Bank. The officials are investigating the company’s balance sheet, investors’ information, and bank accounts to which money was transferred.

Noida has seen a series of call centre fraud busted over the past couple of years but this is the first racket to come to light that used ‘like-trading’ for a Ponzi scheme and perpetrated a fraud of this scale. Buying likes is common practice among companies that want to look better on social media.

That is what Mittal’s Social Trade used to spin its yarn — investors were told the company got business from a third party to increase the latter’s online hits on digital platforms. The investors were given 25, 50, 75 and 125 URLs on their phones every day, based on the ‘subscription plan’.

Amit Pathak, senior superintendent of police, STF, said the trio had launched Social Trade as a pyramid scheme in 2015, telling people they could earn sitting from home. “They enrolled people with subscription money ranging from Rs 5,750, Rs 11,500, Rs 28,750 and Rs 57,500. The investors were given a user ID and password and told they would get random URLs on their phone and would be paid Rs 5 per like,” Pathak said.

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For this purpose, they used Ablaze, which rented a four-storey building in Sector 63 for its office. Investors were told that they would receive monthly payments in their registered bank accounts. They were also told if they brought in more subscribers within 21 days, their income would increase. This process was called a ‘booster’ and, like any other Ponzi scheme, helped build a pyramid of investors. Till Thursday, the number of subscriptions had reached around 6.5 lakh.

As the numbers soared, so did the risks. Most people did not receive the payments they were promised and began complaining. Some went to the police. An FIR was registered at Surajpur police station on January 31 and another FIR on February 1 at Phase III police station. The case was handed over to the STF. It emerged during the probe that around 1 lakh people had filed complaints on emails and text messages to Ablaze for non-payment of dues.

“We found there was no business from any third party for getting online hits. The probe shows the accused had set up a fake server in Ghaziabad and the URL links terminated on the same server,” Pathak said.

The trio also shifted the domain name of their website frequently to hoodwink police. The Social Trade website — socialtrade.biz — was transferred to freehub.com in December 2016. Ten days later, it was shifted to intmart.com. On January 27, the business was shifted to frenzzup.com. Last week the accused had also changed the company’s name and put up a board of W-3 Company.

Ablaze paid monthly rent of Rs 7 lakh for the office. Mitta took home a ‘salary’ of Rs 5 lakh a month while Shridhar received Rs 1 lakh. Police said subscription money was their only revenue and the scheme was doomed to fail.

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What is a Ponzi scheme?

A Ponzi scheme is a fraudulent investment operation where the operator promises and pays initial investors short-term returns that are far higher or unusually consistent compared to other investment options available in the market — not from profit earned from legitimate business, but from new capital collected from newer investors, enticed by the promise of high returns.

It’s named after Charles Ponzi, who became notorious for using the technique in the US in 1920, borrowing from an idea present in novels such as Charles Dickens’ Martin Chuzzlewit and Little Dorrit.

 

 

Busting an online fraud to the tune of Rs 3,700 crore, the Uttar Pradesh police have arrested three persons alleged to have duped nearly 7 lakh people through an online portal ‘socialtrade.biz’. The ‘investors’ were cheated under a scheme named Social Trade.

How did ‘social trade’ work?    [Socialtrade Rs 3700 crore rs. scam]

  • The police arrested three persons- Anubhav Mittal, Sridhar Prasad and Mahesh Dayal from Sector 63 in Noida and seized nearly Rs 500 crore from them.
  • The accused used to run a portal ‘socialtrade.biz’ under which an investor had to pay anything between Rs 5,750 to Rs 57,500 in the company’s account to become the member and earn Rs 5 per click.
  • The portal was launched in August 2015 and offered four different ‘packages’ to the investors to earn money.
  • After paying the money to the company, the investors were asked to like pages and click on the links they were sent.
  • The company claimed it earned Rs 6 for every click and gave Rs 5 of it to the investors. However, the links sent by the company were fake, police said.
  • The firm was registered under the name of Ablaze Info Solutions Pvt Ltd. in Noida and the accused used to constantly change the portal’s name.
  • So far the firm defrauded over 6.5 lakh people collecting around Rs 3,700 crore, police said.
  • Anubhav Mittal, who is said to be the kingpin, holds a B.Tech degree and hails from Ghaziabad. Prasad is from Visakhapatnam and Dayal is from Mathura in Uttar Pradesh.
  • Besides seizing Rs 500 crore from a bank, police have seized various documents including the balance sheet of the company, list of directors and other officials and list of investors.
socialtrde 3700 crore scam- techwithkg.com

UP Special Task Force has busted a gang of fraudsters, who through an online portal ‘socialtrade.biz’ allegedly duped nearly 7 lakh people of Rs 3,700 crore. The ‘investors’ were cheated under a scheme named Social Trade.

  • The online fraud was unearthed when a team of STF raided the office of a Noida-based 3W Digital Private Limited in sector 63 on Wednesday.
  • The company’s Director Anubhav Mittal and his two accomplices –Shridhar Prasad and Mahesh Dayal, were arrested by a UP Police’s Special Task Force (STF) after complaints were registered against the company at Noida Phase 3 and Surajpur police stations in Greater Noida.
  • According to police, the accused duped people on pretext of providing digital marketing solutions and had collected money from as many as 7 lakh people under this ponzi scheme.
  • The accused used to run a portal ‘socialtrade.biz’ under which an investor had to pay anything between Rs 5,750 to Rs 57,500 in the company’s account to become the member and earn Rs 5 per click.
  • The portal was launched in August 2015 and offered four different ‘packages’ to the investors to earn money.
  • After paying the money to the company, the investors were asked to like pages and click on the links they were sent.
  • The company claimed it earned Rs 6 for every click and gave Rs 5 of it to the investors. However, the links sent by the company were fake, police said.
  • The firm was registered under the name of Ablaze Info Solutions Pvt Ltd. in Noida and the accused used to constantly change the portal’s name.
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Anubhav Mittal, who is said to be the kingpin, holds a B.Tech degree and hails from Ghaziabad. Prasad is from Visakhapatnam and Dayal is from Mathura in Uttar Pradesh.

How to get your money back from socialtrade???

To get your money back, read this article :- Best ways to earn money online
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