Understand the different types of trading fraud that are prevalent and how they operate. (Representative image)
A man from Navi Mumbai reportedly lost Rs 1.06 crore after being lured into stock trading for good returns.
A 45-year-old man from Navi Mumbai in Maharashtra reportedly lost Rs 1.06 crore after being lured into stock trading for good returns.
The accused contacted the man, who runs an engineering department in Navi Mumbai's Taloja area, and lured him into stock trading by promising good returns, senior police inspector Gajanan Kadam told the news agency. PTI.
Also Read: Online Stock Trading Scam: Mumbai Woman Lost Rs 192 Crore In 3 Months Here's how to stay safe:
In the last two months, the man had transferred Rs 1,06,28,000 to different bank accounts through online mode. However, when he did not receive the profits and investment amount, he reported it to the police, the official said.
Based on his complaint, a case has been registered against four people under relevant sections of the Indian Penal Code and the Information Technology Act, police added.
Protecting yourself from transaction fraud requires several steps to ensure safety and security.
- Take the time to learn about the stock market, trading practices, and different investment vehicles. Understand the different types of trading scams that are prevalent and how they operate.
- Choose a registered and reputed broker recognized by the Securities and Exchange Board of India (SEBI). Verify registration details through SEBI website or any other reliable source.
- Stay away from unregistered or unauthorized trading platforms, especially those that promise high returns with minimal risk. Be careful when expressing your opinions on social media platforms.
- Be wary of unsolicited calls, emails or messages promoting investment opportunities from unknown sources.
- Perform thorough due diligence before investing in any scheme or platform. Research the company, its background, financial strength, and compliance.
- Carefully examine the terms, conditions, fees, and potential risks associated with any investment.
- Make sure your trading platform or brokerage company provides a safe environment for trading.
- Beware of high-pressure sales tactics or promises of guaranteed profits. Avoid investments that seem too good to be true or that carry risks so serious that they are downplayed.
- Stay up to date with the latest news, market trends and regulatory changes. Continue learning about common trading scams and how to identify and prevent them.
- Please consider seeking advice from a qualified financial advisor or professional before making any investment decisions. Contact a trusted individual or organization who can provide unbiased guidance.
- If you notice any suspicious activity or believe you are a victim of a transaction scam, report it to the relevant authorities, including SEBI, police, and consumer protection agencies.