Madhya Pradesh police are investigating a ₹21.06 crore ($2.2 million) online investment fraud after 70-year-old chartered accountant Ashok Vijayvargiya, who also serves as Chief Returning Officer of the Madhya Pradesh Chamber of Commerce, lost the funds to scammers operating a fake cryptocurrency trading platform. Fraudsters contacted Vijayvargiya on social media, built trust over weeks by displaying fabricated returns, then blocked all withdrawal attempts after he deposited the total sum. The case fits a pattern of pig-butchering schemes now spreading across multiple Indian states, with the FBI recording $11.4 billion in US crypto-related losses in 2025, a 22% increase over the prior year.
Police Trace 20 Bank Accounts in Gwalior Fraud Investigation
DSP Sanjeev Nayan Sharma of the State Cyber Cell told the Free Press Journal that investigators are conducting technical tracing of 20 bank accounts, three WhatsApp numbers, and the URL of the fake trading portal. The team aims to follow the IP trail and freeze linked accounts before the operators can move the funds further. The apparent profits displayed on Vijayvargiya's screen were never real—the money moved only in one direction. When he attempted to withdraw, the operators manufactured repeated excuses to block every payout.
Gujarat Police Arrest Software Engineer in Parallel ₹72.73 Lakh Crypto Fraud
A parallel case in Surat, Gujarat, follows the identical template. Police arrested Divyesh Patel, a 29-year-old software engineer, after a complainant lost over ₹72.73 lakh (about $76,000) through a fraudulent crypto trading website promoted via Telegram. The victim was promised enormous profits, directed to a fake platform, and then watched the funds vanish into a chain of bank accounts. Investigators found that ₹17 lakh of the victim's money ended up in Patel's IDBI Bank account. He allegedly rented the account to a fugitive accomplice for a 2% commission on each transaction, according to police. That single account appeared in eight separate cyber fraud complaints from multiple states, linked to ₹24.72 crore ($2.5 million) in alleged losses. Patel was charged under Section 66(D) of the Information Technology Act and several sections of the Bharatiya Nyaya Sanhita, 2023.
Chartered Accountant Victim Highlights Sophistication of Pig-Butchering Tactics
The Gwalior case stands out because the victim is a credentialed financial professional, not a retail novice. Pig-butchering schemes, which use slow-build social engineering before directing victims to controlled platforms, have historically targeted less sophisticated investors. A chartered accountant with decades of professional experience falling for the same template suggests the tactics have matured enough to bypass professional skepticism. The Surat Cyber Crime Cell advised people to verify any unsolicited crypto or stock trading offers, block unfamiliar Telegram or WhatsApp groups, and treat modest early returns as bait. Both Indian investigations remain open.
FAQ
What happened to Ashok Vijayvargiya in the Madhya Pradesh crypto fraud case?
Ashok Vijayvargiya, a 70-year-old chartered accountant and Chief Returning Officer of the Madhya Pradesh Chamber of Commerce, lost ₹21.06 crore ($2.2 million) to scammers who contacted him on social media, displayed fabricated crypto trading returns over weeks, and blocked all withdrawal attempts after he deposited the funds into a fake platform.
What charges did police file against Divyesh Patel in the Surat crypto fraud?
Police charged Divyesh Patel, a 29-year-old software engineer, under Section 66(D) of the Information Technology Act and several sections of the Bharatiya Nyaya Sanhita, 2023, after investigators found ₹17 lakh from a victim's ₹72.73 lakh loss in his IDBI Bank account, which he allegedly rented to a fugitive accomplice for a 2% commission on each transaction.
