Delhi Police busts Rs 500 crore investment fraud; 5 including Elvish Yadav, Bharti Singh summoned

The Delhi Police has summoned YouTuber Elvish Yadav, comedian Bharti Singh, and three others in connection with an app-based scam involving a fraud of Rs 500 crore, an officer said on Thursday.

According to the police, over 500 complaints were received alleging that various social media influencers and YouTubers promoted the HIBOX mobile app on their platforms, encouraging people to invest through the app.

The main accused, Sivaram, a 30-year-old resident of Chennai, has been arrested, police reported.

The complaint named several social media influencers and YouTubers, including Saurav Joshi, Abhishek Malhan, Purav Jha, Elvish Yadav, Bharti Singh, Harsh Limbachiya, Lakshay Choudhary, Adarsh Singh, Amit, and Dilraj Singh Rawat, for promoting the app and enticing people to invest.

“HIBOX is a mobile application that was part of a meticulously planned scam,” said Deputy Commissioner of Police (IFSO Special Cell) Hemant Tiwari.

The accused promised daily returns of one to five per cent, which would amount to 30 to 90 per cent per month, through the app, Tiwari added. Launched in February 2024, the app attracted over 30,000 investors.

Initially, investors received high returns during the first five months, but starting in July, the app began withholding payments, citing issues such as technical glitches, legal problems, and GST complications.

“The companies involved vanished after shutting down their office in Noida, Uttar Pradesh,” DCP Tiwari noted.

The mastermind, Sivaram, has been apprehended, and Rs 18 crore has been seized from four of his bank accounts, police said.

On August 16, 29 victims lodged complaints against the HIBOX app with the Intelligence Fusion & Strategic Operations (IFSO), alleging they were promised high returns on their investments.

Also Read: Delhi: Officials of pollution control panel booked for corruption for slashing fines amounting to Rs 6 crore on pollution units

On August 20, the Special Cell filed an FIR under various sections of the Bharatiya Nyaya Sanhita and relevant provisions of the Information Technology Act.

During the investigation, additional complaints from the Delhi cyber Northeast district were filed by nine more individuals who fell victim to the same scheme. These cases were transferred to IFSO. Over 500 complaints have since been received from the northeast district, outer district, Shahdara, and the NCRP portal.

“Our team traced the payment gateways and bank accounts involved in the fraud. Analysis of transactions helped identify four accounts used to siphon off the cheated funds,” the DCP explained.

So far, 127 complaints have been consolidated, and the roles of EASEBUZZ and PhonePe are being investigated, as merchant accounts for the fraudsters behind HIBOX were opened without proper verification and in violation of RBI regulations, police stated.

“The involvement of EASEBUZZ and PhonePe employees is under investigation and cannot be ruled out,” DCP Tiwari added.

(With inputs from PTI)