Cyber Fraud in Gujarat: Man Ends Up Paying Rs 61,000 for a Rs 1,800 Loan

Victim Lodges Complaint After Falling Prey to Online Loan Scam Involving Threats of Distributing Explicit Content

Cyber Fraud in Gujarat: Man Ends Up Paying Rs 61,000 for a Rs 1,800 Loan

A fishing businessman from Rupen Bandar in Gujarat's Devbhoomi Dwarka district fell victim to a sophisticated cyber fraud involving an online loan application, eventually paying Rs 61,000 for a loan of just Rs 1,800. The victim, 20-year-old Nizam Sodha, has lodged a police complaint against the culprits.

According to Sodha, his five-year-old niece unwittingly downloaded the 'CreditNow' app while watching children's videos on YouTube, where the app was advertised. Upon discovering the app on his phone on March 9, 2023, Sodha found that he could apply for a loan of Rs 87,000. His first loan request of Rs 3,000 was approved, but only Rs 1,800 was credited to his account, the remaining amount being deducted as a processing fee.

However, the situation took a turn for the worse five days later. Sodha began receiving calls from different numbers via WhatsApp, even after he had closed the loan. In addition to the calls, he was sent explicit photos and threatened that these would be shared on social media platforms, including Facebook and Instagram, and sent to his friends and relatives unless he repaid the loan.

Fearing the potential embarrassment and social backlash from the distribution of explicit images, Sodha ended up depositing a total of Rs 61,000 through his UPI ID. "The accused have extorted money from me by threatening to make explicit photos viral through social media and sharing them with people in my contact list," said a distressed Sodha, who has since closed his WhatsApp account.

The police have registered a case against five different number holders under section 384 of the IPC and various sections of the IT Act, marking another instance of the rising menace of cyber fraud in the digital era.