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- Hyderabad police arrest three men after an investor loses ₹19 crore in a major crypto scam.
- A fake KYC site and hidden smart contract drained 21,040,89 USDT from the victim’s wallet.
- The case mirrors rising crypto scam patterns as officials probe links to wider fraud networks.
A major crypto scam has come to light in Hyderabad after police arrested three men accused of stealing over $2.1 million in USDT from a local investor. The fraud allegedly involved a fake KYC website and a malicious smart contract.
The victim is a 44-year-old man from Kalyan Nagar. Police said he lost 21,04,089 USDT, valued at around ₹19,08,98,915. The funds were transferred after he interacted with a website named Trontag.org. Authorities confirmed the portal was fraudulent.
According to the report, investigators said the victim was told to complete a wallet verification process. He is informed that his Tron wallet required KYC authentication. Trusting the instructions, he connected his wallet to the site. He also approved a smart contract request shown on the screen.
Police Detail Roles of the Three Suspects in the Crypto Scam
Police stated that the smart contract contained hidden code. Once accepted, it triggered an automatic transfer of funds. The entire USDT balance was moved to accounts controlled by the accused. The victim realized the loss only after the transaction was completed.
Three suspects have been arrested in connection with the crypto scam. They were identified as Sushim Shripati Gaikwad from Pune, Srikanth from Hyderabad, and Lucky Choudhary from Jaipur. Officers said each suspect had a specific role. Two handled communication, while one managed the website.
According to investigators, Gaikwad and Srikanth posed as buyers of USDT. They contacted the victim and gained his trust. Choudhary allegedly created and operated the fake KYC platform. Police described the crypto scam as carefully planned and coordinated.
During searches, officials seized four mobile phones and two laptops. These devices are being examined for digital evidence. Police said financial trails are under review. They are also checking whether more victims were targeted through the same method.
India Reports Surge in Crypto Scam Cases
However, the case reflects a wider pattern of crypto scam incidents in India. In December last year, the Central Bureau of Investigation charged 30 individuals in the HPZ Token case. That investigation included two foreign nationals. Authorities said investors were promised high returns from crypto mining.
According to the officials, the funds allocated to the HPZ matter were passed through shell firms. However, the funds were not used in actual mining. The investigators said the aim was to deceive the participants. The case also demonstrated coordination between different places.
Police have said the same techniques are used in new cases of wallet-related fraud. Some people are allegedly sent letters by the firms producing hardware wallets. While the victims are asked to scan the QR code to verify the information. The steps can result in the exposure of the recovery words, thus the theft of the funds.
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