India’s HDFC Bank warns against fraudulent trading platforms

Fraudsters would make fake platforms and apps showing fake returns.

India’s HDFC Bank has warned customers to be more cautious against fraudulent trading platforms, particularly those that offer investment opportunities mostly through social media platforms.

The bank is seeing an increasing number of investment frauds, said Manish Agarwal, HDFC Bank EVP for credit intelligence and control.

“We are seeing an increase in the number of cases of investment frauds and want to help create a wider awareness and knowledge about the issue, so that the consumers can avoid falling prey to these deceptive schemes,” Agarwal said in a statement posted on the HDFC Website.

“Whilst the Government, Banks and regulatory bodies are taking steps to curb these frauds, individual vigilance and awareness play a very important role in avoiding falling prey to illegitimate schemes,” he said.

The fraudsters promise unusually high returns on investments in stocks, IPOs, cryptocurrency, Bitcoin, amongst others. 

The fraudsters would create fake automated investment platforms and apps, where victims view fake dashboards indicating high returns in investments. These platforms are promoted on social media, inviting persons to join these high return investment schemes, HDFC Bank said.

“Fraudsters typically exploit people through social engineering tactics, however being cautious and transacting only after due diligence, will help safeguard against fraudsters,” the bank said in a statement.

Customers who fall victim to online fraud are advised to report the unauthorised transactions to HDFC Bank in order to get the payment channel blocked.

Victims are also advised to file a complaint by calling 1930 helpline number started by the Ministry of Home Affairs (MHA); and to submit a complaint on National Cybercrime Reporting Portal