Recently, a 65-year-old man who lost ₹3 crore through online trading was found dead near Chottanikkara, Ernakulam.

Scammers use sophisticated fake videos featuring ministers and big industrialists to lure victims with promises of high returns. These videos promote fraudulent investment schemes, claiming massive profits. People who click the links alongside these promotional videos often fall prey to the scam.

Another common trick involves social media advertisements, promising high income with minimal effort. Scammers impersonate celebrities or business figures to appear credible. They then contact victims, claiming to represent a private share trading company. Victims are persuaded to install a fake share trading application, create an account, and transfer funds to bank accounts suggested by the scammers.

Also read | 3 hour AI content removal rule: What it means for Instagram, YouTube and Facebook

Victims have lost anywhere between ₹25 lakh and ₹6 crore. Initially, small investments are sometimes returned with fake profits to gain trust. The scam becomes apparent only when victims attempt to withdraw larger sums. On the fake app, both investments and profits exist only virtually. When withdrawal is requested, the scam operators demand further payments labelled as GST, commissions, or other fees.

Undetectable fake websites
Fraudsters carefully design these websites to appear legitimate. They mimic the look and functionality of well-known trading platforms, including daily market fluctuations. Initially, victims may see their investments grow, creating a false sense of security. When attempting large withdrawals, access is blocked, or the site disappears entirely.

Also read | 'This is not me': Sudha Murty issues urgent warning over viral investment videos

Additionally, some scams use phishing kits from the dark web, such as "browser-in-the-browser" attacks. These tricks steal users' banking credentials and OTPs, allowing fraudsters to siphon investments. Fake browser windows replicate real ones, including branding, logos, and URL displays, making detection extremely difficult.

How to identify a scam

According to cyber expert Jiyas Jamal, fake trading apps, websites, and deepfake videos of big industrialists designed to lure investors can now be detected quickly. The authenticity of deepfake videos and fraudulent companies can be verified using tools like Google or ChatGPT.

It is also possible to check the legitimacy of websites shared via social media links. Investors can verify details such as the company's registered address, whether it is a legally registered entity, and whether it has approvals from authorities like SEBI or the Reserve Bank of India.

Although the videos may focus on trading, the promises made during video calls are usually investment-related. If a platform promises unusually high returns for a small investment, it is a strong indicator that it is a scam.