MP police books Paytm directors in fraud case


Bhopal, May 2, 2016: Madhya Pradesh police on Saturday booked the directors of Paytm – a mobile commerce platform – along with authorities of several other e-portals in a case of alleged forgery with over 300 people across the state.

The case has also been lodged against directors of Xenon Value Services India Private Limited, Vtech ventures, designing hub and

Police told media that Paytm’s directors Vijay Shekar Sharma and Harendra Pal Singh have been named in the FIR under sections of forgery and IT Act.

Sharma, 34, is the founder & CEO of One97 Communications – a growing mobile Internet companies. Paytm has recently launched a newly updated Wallet app for its android users.

Addressing press conference police officials said that the fraudsters used Paytm as the gateway for monitor transactions. They said the company authorities are well aware of those the accounts to which transactions were made.

Modus operandi adopted by the fraudsters was that they call up gullible customers and identify themselves as a bank manager calling for providing easy loans or an executive of placement agencies with job opportunities by paying up a small amount of money as registration fees through debit or credit cards.

During conversations accused claim that there is a problem with the ATM card of the customers and asked for the ATM and pin numbers on the pretext of changing the ATM card and pin number.

As soon as the ATM card and pin numbers are given, the customer gets an alert on his mobile about the amount debited from his account.

Police officers said after the getting ATM number the gang use mobile wallets such as “Paytm” as a gateway to transfer money from the customer to their SIM card and use it for recharge, DTH and online shopping.

So far 313 people from all over the state have registered their complaint. Total of Rs 20 lakh have been duped so far.


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