UP STF Cracks Pan-India Fake IPO Fraud; Alleged Mastermind Held in Nagpur

The Uttar Pradesh Special Task Force (STF) has arrested the alleged mastermind of an interstate cyber fraud syndicate accused of cheating investors out of crores of rupees through fake initial public offering (IPO) and online stock market investment schemes. Investigators have linked the network to 3,087 complaints registered on the National Cyber Crime Reporting Portal (NCRP), making it one of the country’s largest suspected fake investment cyber fraud operations. Authorities are now tracing the financial trail and examining the syndicate’s nationwide network.

The accused, Anurag Arvind Srivastava (36), a diploma holder in Mechanical Engineering and a resident of Ganpati Nagar in Mankapur, Nagpur, Maharashtra, was arrested from his residence on July 31. He is wanted in a case registered at the Cyber Crime Police Station in Lucknow under multiple provisions of the Bharatiya Nyaya Sanhita (BNS) and Section 66D of the Information Technology Act. Following his arrest, he was brought to Lucknow on transit remand and has since been remanded to judicial custody.

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According to investigators, the syndicate targeted victims through advertisements on Facebook, Instagram and WhatsApp, promising expert stock market guidance and exceptionally high returns from IPO investments. Interested individuals were added to a WhatsApp group named “VIP9-6 ACI Exclusive Guidance Group,” where people posing as investment experts allegedly conducted online trading sessions and circulated fabricated screenshots showing extraordinary profits to gain investors’ confidence.

Victims were then persuaded to download a fraudulent investment application called ACI Century App through a dedicated link and create investment accounts. They were instructed to transfer funds into multiple bank accounts allegedly controlled by the syndicate. Investigators said the application displayed fictitious profits to encourage further investments, while no money was actually invested in any legitimate stock exchange or IPO. When investors attempted to withdraw their funds, they were either denied access or pressured to deposit additional amounts under various pretexts.

The investigation began after Apoorva Rai, a resident of Lucknow, lodged a complaint with the Cyber Crime Police Station alleging that she had been cheated through the fake investment platform. Months of technical surveillance and intelligence gathering by the STF eventually led investigators to the accused.

During interrogation, investigators found that in 2022 the accused, along with Vinod Kumar Rathore, Vivek Kumar Singh, Shivanika, Nadeem Sheikh, Sudhir, Sanchit and Mukesh, established My Ground11 Gaming Zone Pvt. Ltd. Authorities allege that although the company was presented as a fantasy gaming platform, it was also used to facilitate financial transactions linked to the cyber fraud operation. Investigators are examining whether the platform served as a front to channel or conceal proceeds generated through the alleged scam.

During the raid in Nagpur, the STF seized a laptop, an iPhone, an SUV, 139 company-related documents, three company rubber stamps, six blank cheque books issued by different banks, two unsigned cheques worth ₹3.17 crore and ₹2.50 crore, one cancelled cheque and two SIM cards. The seized digital devices and financial records are undergoing forensic examination to identify shell companies, beneficiary bank accounts and other members of the syndicate.

Investigators said the accused has been named in at least 11 cyber fraud cases, including cases registered at the Cyber Crime Police Station and Ashiyana Police Station in Lucknow, as well as the Cyber Crime Police Station in Sri Vijaypuram, Andaman and Nicobar Islands. Authorities have so far frozen nearly ₹2 crore in bank accounts allegedly linked to the fraud, while the investigation into additional financial transactions, beneficiary accounts and the complete money trail remains ongoing.

Renowned cybercrime expert and former IPS officer Prof. Triveni Singh said fake IPO and investment scams typically rely on building trust before persuading victims to invest through fraudulent apps and coordinated social media campaigns. He advised investors to independently verify the regulatory status of investment platforms, company registrations and payment channels before transferring money, adding that due diligence remains the most effective safeguard against such cyber frauds.