Businessman held for cheating NRI of Rs.8 crore with promise of good returns for investment

The Cyberabad Economic Offences Wing arrested a businessman on charges of cheating a Non-Resident Indian of Rs.8 crore in the guise of investments and also for threatening him.

Police said the suspect, Kumar Srinivas Varma alias Srinivas Varma, who owned a firm dealing in wall paints and flooring material in Madhapur, had promised good returns for investments and made the victim invest Rs.3 crore in 2019.

Eventually, owing to the pandemic, the firm incurred losses and Varma then requested the victim to buy more shares and become a director



in the firm. Following this, the NRI invested nearly Rs.5 crore and was made one of the directors.

“The suspect, along with his associates conspired and cheated the complainant and tried to bring him down from the directorship through illegal ways. Varma also diverted funds of the firm for personal purposes,” police said, adding that when he questioned this, the victim was confined and assaulted. He then approached the Madhapur police, who transferred the case to the EOW.

after analyzing  technical evidence, police arrested Varma.