FQL investment fraud draws over 40,000 complaints in Madurai and neighbouring districts
Over 40,000 complaints have been filed regarding a cryptocurrency investment fraud in Tamil Nadu, with losses estimated at over ₹200 crore. The FQL Investment Group allegedly used an MLM model to promise high returns before disappearing with investor funds.
Why it matters
This case underscores the risks associated with unregulated cryptocurrency schemes and the vulnerability of retail investors to MLM-style financial fraud.
More than 40,000 complaints have been received from Madurai and neighbouring districts in connection with an alleged cryptocurrency investment fraud operated under the names FQL Investment Group Syndicate and FQL Investment Trading, with the total financial loss estimated at over ₹200 crore, said P.Viswanathan, Higher Education Minister on the floor of the assembly.
On Monday, Mr. Viswanathan represents Melur Assembly constituency and presented a statement in this regard on the floor of the assembly.
The scheme, allegedly linked to a Multi-Level Marketing (MLM) model, promised investors high returns through cryptocurrency trading. Investors were reportedly asked to invest a minimum of ₹50,000, which was converted into cryptocurrency through wallets. The operators allegedly promised daily earnings of ₹2,000 and claimed that the investment would double in 40 to 45 days through “Copy Trading” and “Daily Reward Point” activities.
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