Bengaluru investor duped of ₹20.36 lakh in Instagram-linked trading scam posing as Kotak Securities

Bengaluru

A Bengaluru-based businessman has allegedly been defrauded of over ₹20.36 lakh in a sophisticated online trading scam that originated from an Instagram link and impersonated Kotak Securities. FIR is registered at East CEN police station. 

The complainant, identified as Vijay Aal Christi, stated that he was added to a WhatsApp group called “D3 KOTAK CLUB” on May 9, 2025, after clicking a solicited link on Instagram. The group, claiming affiliation with Kotak Securities, introduced a woman named Aarti Bhalla as a broker working under the reputed Mr. Shripal Shah.

Bhalla provided instructions via WhatsApp on stock purchases and withdrawals and directed Christi to install an app named “Kotak QIB.” Transactions were to be conducted through this platform. Christi was asked to make deposits through a Bandhan Bank account supposedly registered under the name Kotak Securities, which raised initial suspicions. However, the scammers convinced him by claiming the account was a SEBI- and RBI-regulated corporate account.

After an initial investment of ₹40,000, Christi saw profits and was able to withdraw small amounts successfully, encouraging him to invest more. The operation, termed “Block Trading,” promised high returns through post-market discounted share purchases and next-day sales. Christi even roped in his brother for additional funds to invest in an IPO offering a 216% return.

Trouble began when Christi attempted to withdraw ₹90,000, only to be told that he had to pay 20% commission on his profits first—amounting to ₹16.7 lakh. The scammers refused to deduct the commission from his existing funds and demanded an external payment, citing SEBI rules.

As pressure mounted to pay at least 50% of the commission, Christi grew suspicious and conducted further checks—only to realise he had fallen victim to a scam. Despite this, the fraudulent WhatsApp group remains active, and the impersonator continues to reach out to him. Christi  approached the authorities, seeking legal action and recovery of his lost funds. Police are investigating the case under cyber fraud and financial misrepresentation.

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