Investment Scam
Investment scams typically start on social media or Telegram/WhatsApp groups, where a 'trading expert' shares screenshots of huge profits and invites you to a fake trading app or platform. Initial small withdrawals are allowed to build trust, but once larger sums are invested, withdrawals are blocked, and additional 'taxes' or 'unlocking fees' are demanded before the scammer disappears.
What Is It
These operations use fake trading dashboards showing inflated, fabricated returns that have no connection to real markets. They are unregistered with SEBI, often operate from outside India, and rely on urgency ('limited slots', 'today only') and social proof (fake testimonials, paid group admins) to pressure victims into investing more before disappearing entirely.
When To Use It
Report if: an unregistered app/platform is blocking your withdrawal after demanding fees/taxes; you were invited to invest via a Telegram/WhatsApp group by someone showing profit screenshots; or you suspect the 'broker' or 'advisor' is not SEBI-registered.
Step-by-Step Process
- 1Stop all further payments immediately — do not pay any additional 'tax' or 'fee' to unlock withdrawal; this is always a further scam step.
- 2Verify if the entity is SEBI-registered using the SEBI intermediary search tool before trusting any platform.
- 3Collect all evidence: app screenshots, chat history, payment records, and the platform/website URL.
- 4File a complaint on SEBI SCORES (scores.sebi.gov.in) if a registered intermediary is involved, or cybercrime.gov.in if fully unregistered/fraudulent.
- 5Call 1930 to attempt a fund freeze if the transaction was recent.
- 6File an FIR at your local cyber crime cell for larger amounts.
Documents Required
- Screenshots of the trading app/dashboard
- Chat history with the 'advisor' or group
- All payment transaction records
- Platform/app name and URL
Fees
Filing on SEBI SCORES and cybercrime.gov.in is free.
Processing Time
Fund freeze attempts are most effective within 24-72 hours. Full investigation and any recovery can take several months given these platforms often route money through multiple accounts.
Important Tips
- 'Guaranteed returns' is the single biggest red flag in investing — no legitimate market instrument guarantees fixed high returns.
- Always verify SEBI registration of any broker, advisor, or platform before investing a single rupee.
- Being allowed to withdraw a small amount early is a deliberate trust-building tactic, not proof of legitimacy.