Geojit warns investors of fraudsters promising high returns, bogus schemes

Fraudsters are deceiving people with false promises of lucrative returns and bogus investment schemes in the stock market and mutual funds, as well as fake IPOs, Geojit Financial Services

Geojit Financial Services Ltd on Tuesday alerted the public to several instances of fraudulent activities involving the misuse of its name, Geojit / Geojit Financial Services Ltd (GFSL), and logo by unscrupulous individuals.

A Balakrishnan, Executive Director, Geojit Financial Services, said, “With the rise of financial and investment fraudulent schemes, we urge everyone to remain vigilant. As advocates for financial integrity, we are steadfast in our commitment to transparency and protecting the financial well-being of investors.”

“As a Sebi-registered entity, all the products and services Geojit offer are within the regulatory framework. We will continue to take all necessary measures to prevent frauds and to provide a secure investment environment,” he said.

Fraudsters promising lucrative returns

The company said in a statement that these fraudsters are deceiving people with false promises of lucrative returns and bogus investment schemes in the stock market and mutual funds, as well as fake IPOs. Due to such scams, many innocent investors have reportedly lost huge amounts.

Geojit has already filed complaints with the relevant authorities and is working closely with them to address the issue. “We believe that public awareness is a crucial element in combating these fraudulent activities. We urge everyone to stay informed and vigilant to protect themselves from financial scams,” the company said.

Stock market scam menace

Online stock investment scams are rampant in India. In the past few months, hundreds of individuals across the country have fallen victim to these scams, losing significant sums of money. For example, in April, a businessman in Jayanagar lost Rs 5.2 crore in a sophisticated cybercrime. He was tricked into downloading a fraudulent app and transferring money under the guise of high-return investments.

Similarly, in March, a woman from Pune lost Rs 24.12 lakh of her savings in an online share trading fraud. She had sold her jewellery to invest in a get-rich-quick scheme promoted by conmen, who asked her to download a mobile phone application to start trading.