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Market News

Indian Trader Duped of ₹2.05 Cr in Fake USDT Investment Plan

The accused lured investors with fake promises of high returns and luxury gifts through a bogus Doxy crypto scheme, vanishing after taking their money.

Written By:
Dishita Malvania

Reviewed By:
Divya Mistry

Last updated: October 28, 2025 11:12 PM
Published October 28, 2025 7:19 PM
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Last updated: October 28, 2025 11:12 PM
Published October 28, 2025 7:19 PM
Indian Trader Duped of ₹2.05 Cr in Fake USDT Investment Plan

The Economic Offences Wing (EOW) of the Ahmedabad Police has lodged a case against four individuals from Nagpur for allegedly cheating a city-based businessman of more than ₹2.05 crore through a fake cryptocurrency investment scheme. The accused are said to have enticed the victim with promises of high monthly returns from a company called Doxy, which claimed to deal in crypto investments using USDT.

The complaint was filed by Bunty Kanaiyalal Sangtani, a resident of Nana Chiloda in Ahmedabad, who owns a readymade garment shop. According to police, the accused, identified as Jay Balram Kakwani, Namdev Rajkumar Mirani, Nikhil Tejram Tawale, and Sanjay Hariram Hemrajani, who are all residents of Nagpur, were part of a well-planned conspiracy to cheat Sangtani through a fake investment setup.

How the fraud unfolded

Back in August 2022, Sangtani said his brother, Jay Kakwani, told him about a company called Doxy that claimed to offer “high and assured monthly returns” through investments in USDT, a popular crypto stablecoin.

At first, it all looked genuine. The accused showed him what appeared to be real “wallet entries” on the Doxy website, reflecting profits that seemed to grow with each investment. Believing the figures to be true, Sangtani kept putting in more money.

But when he eventually tried to withdraw his funds, he discovered that he had no control over them; the access rested entirely with the accused. That’s when he realised he had been deceived.

Despite repeated assurances, he only received ₹13.19 lakh back, with the group blaming “technical errors in the company’s server.” Sangtani also transferred ₹55,850 via PhonePe to Nikhil Tawale as a brokerage fee, but the remaining ₹2.05 crore and promised profits were never returned.

According to investigators, the group may have used similar tactics to cheat investors across states. “The accused lured the complainant with promises of extraordinary returns and luxury gifts under the pretext of a Doxy company scheme. After receiving the funds, they stopped communication and failed to return the invested money,” said a senior EOW official.

The police have registered the case under sections of cheating, criminal breach of trust, and criminal conspiracy under the Bharatiya Nyaya Sanhita. Further investigation into the money trail and digital wallet transactions is ongoing.

Series of crypto scams across Gujarat

The Ahmedabad case is the latest in a growing series of cryptocurrency scams reported across Gujarat this month.

On October 10, a 51-year-old man from Gandhidham, originally from Pune, lost ₹56.47 lakh in a Telegram-based crypto trading scam run through a group called Conforge Finance. The victim, Kishor Nargundkar, was introduced to the group by a woman named Deepa, who promised high returns on small investments. Over time, he made 38 transactions between June 25 and September 8, only to realize he had fallen into a trap.

A few days earlier, on October 8, Hardik Umraniya, a 35-year-old medical representative from Rajkot, was cheated of ₹31.5 lakh after accepting a friend request from a stranger on Facebook. What began as casual chats soon turned into investment advice — the scammer persuaded him to invest in USDT, showing small profits at first before vanishing with the rest of the money.

Authorities warn of rising crypto frauds

Police said these scams are becoming smarter, with fraudsters now using social media and messaging apps to tempt people with promises of quick profits. They added that investigations in all three cases are still on, and urged people to stay alert and avoid falling for online schemes that claim to double money or offer guaranteed returns.

Also Read: India Targets Offshore Binance Crypto, 400+ Traders Under Probe

Disclaimer: The information researched and reported by The Crypto Times is for informational purposes only and is not a substitute for professional financial advice. Investing in crypto assets involves significant risk due to market volatility. Always Do Your Own Research (DYOR) and consult with a qualified Financial Advisor before making any investment decisions.

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Dishita Malvania - Senior crypto journalist at The Crypto Times
By Dishita Malvania
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Dishita Malvania is a Crypto Journalist with 3 years of experience covering the evolving landscape of blockchain, Web3, AI, finance, and B2B tech. With a background in Computer Science and Digital Media, she blends technical knowledge with sharp editorial insight. Dishita reports on key developments in the crypto world—including Litecoin, WazirX, Solana, Cardano, and broader blockchain trends—alongside interviews with notable figures in the space. Her work has been referenced by top digital media outlets like Entrepreneur.com, The Independent, The Verge, and Metro.co, especially on trending topics like Elon Musk, memecoins, Trump, and notable rug pulls.
Divya Mistry - Content Editor at The Crypto Times
By Divya Mistry
Follow:
Divya Mistry is a Content Editor with over 9 years of experience in news, PR, marketing, and research. Armed with a Master’s Degree in English Literature from the University of Mumbai, she specializes in crafting and refining long-form content across digital and print platforms. Over the years, Divya has contributed to and shaped content for leading brands across a range of industries, including real estate, healthcare, vertical transport, entertainment, lifestyle, education, EdTech, tech, and finance. Her research work has been featured on platforms like DNA India, Forbes, and Elevator World India. She now brings her editorial and research skills to explore the rapidly evolving world of cryptocurrency.

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