Vizag Loan Scam: Rs 35 Lakh Lost to Fake Offers

More than 20 individuals in Visakhapatnam have collectively lost over Rs 35 lakh to a sophisticated fake loan scam.

The fraudsters operated by contacting victims through WhatsApp and social media, posing as executives from private finance companies.

Tactics of Deception

Victims received forged company documents and fake loan approval letters to build trust, before being persuaded to transfer money for various fees.

These demands included processing fees, security deposits, account activation charges, NOC fees, and insurance premiums, all collected via net banking.

Individual losses in the scheme ranged from Rs 1 lakh to Rs 3 lakh across the city.

Victim’s Experience and Broader Reach

Kumar, a 40-year-old resident, transferred over Rs 2.6 lakh within a week after being promised a Rs 6 lakh business loan at a low-interest rate.

He filed an online complaint with Visakhapatnam cybercrime police after the loan was not disbursed and further payments were demanded.

The criminals also advertised fake loans on social media, requesting advance payments between Rs 5,000 and Rs 10,000 for larger loans of Rs 5 lakh to Rs 10 lakh.

To establish credibility, they sometimes transferred small amounts, between Rs 3,000 and Rs 5,000, to victims’ accounts before demanding more funds.

Additionally, victims were encouraged to download malicious APK files disguised as legitimate loan applications.

Official Warning

Authorities advise anyone experiencing cyber financial fraud to report it immediately through the national cybercrime helpline 1930 or the National Cyber Crime Reporting Portal.