Coming as another confirmation to the dubiousness of ‘work from home’ businesses, a 26-year-old BTech graduate was arrested from Noida for scamming more than six lakh people with a Ponzi scheme amounting to an astounding Rs 3,700 crore.

The fake company in question is Ablaze Info Solutions Private Limited whose owner, Anubhav Mittal, was arrested along with 40-year-old Shridhar Prasad and 25-year-old Mahesh Dayal. Their office was located in Noida’s Sector 63.

Mittal’s website Social Trade used to lure investors by telling them that a third party business wanted to gain hits on social media. Based on a subscription plan, the investors were then given 50, 75, 125 URLs each day on their phones. Since a company employing the service of IT companies to boost their reputation online is not a new phenomenon, Mittal used the trade to set up a Ponzi scheme by creating fake URLs.

As the number of subscribers slowly increased, complaints also started stacking up. Some who had been lured into the scheme and did not get their deposits went to the police station and filed a complaint. After two separate FIRs were launched on January 31 and February 1 respectively, the case was then handed over to the STF who raided the Noida office.

Ablaze paid a monthly rent of 7 lakh for the office while the owner, Mittal, took home a salary of Rs 5 lakhs.

First Published | 3 February 2017 11:15 AM
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