Police in Adilabad have arrested two key members of a six-person gang accused of running a cryptocurrency investment fraud across Telangana and Andhra Pradesh. The gang allegedly defrauded around 500 people, with the total estimated loss reaching approximately ₹10 crore. Authorities seized two mobile phones and documents tied to two properties linked to the accused during the arrests.
The scheme lured victims through a Ponzi scheme and a multi-level marketing network, promising to double investments within two years. The arrested individuals, Polamarasetty Ratnaraju, 47, and Dondapati Lakshmana Rao alias Lazarus, 46, both hail from Andhra Pradesh. The case came to light after Narsimulu from Ruyyadi village filed a complaint, alleging he invested ₹7.50 lakh in 2023 but received no returns despite repeated requests.
Two other victims from Adilabad district reported losses of ₹7.50 lakh and ₹6.21 lakh. The police have registered the case under Sections 420 and 409 of the IPC and Sections 3 and 4 of the Prize Chits and Money Circulation Schemes (Banning) Act. The investigation is ongoing.