Pune Man Loses Rs 1 Crore to Cyber Criminals in Pizza Chain Franchise Scam

A 35-year-old director of an engineering company in Pune has fallen victim to a massive online fraud, losing an astounding sum of Rs 1 crore. The cyber criminals deceived him by posing as representatives of a well-known multinational pizza restaurant chain, offering him franchise opportunities during the upcoming 50-over men's cricket World Cup, as well as one at the Pune International Airport.

The victim lodged a First Information Report (FIR) at the Bhosari MIDC police station, under the Pimpri-Chinchwad police jurisdiction. Investigations revealed that between June 9 and July 7, the complainant was coerced into making over a dozen transactions to multiple bank accounts. The scammers exploited various pretexts related to opening franchise outlets of the pizza restaurant chain in Mumbai, Pune, and even at the Pune International Airport.

Authorities investigating the case have discovered multiple instances of similar cyber frauds across India, all utilizing the name of the same pizza restaurant chain to deceive unsuspecting victims into believing they were being offered genuine franchise opportunities.

According to the FIR, the victim, who operates an engineering components manufacturing company, was actively seeking investment opportunities in the food and hospitality sector. During his search, he came across platforms that claimed to offer franchises of the pizza chain. In the first week of June, he filled out an online form and received a call on June 9 from an individual posing as an executive from the franchisor.

On June 21, the victim received a letter of intent, detailing the terms and conditions of the contract. As part of the scam, he was instructed to transfer Rs 2.65 lakh as an initial processing fee. Subsequently, he was coerced into making payments totaling around Rs 6 lakh for a no-objection certificate (NOC) and Rs 7.5 lakh as an initial payment for machinery required for the franchise outlet. These payments were made in four installments, with the victim being informed that the outlet would be located at the Pune airport.

In the following days, the victim was contacted by other fraudsters masquerading as executives from the pizza chain, demanding additional transfers of Rs 2.6 lakh, as well as two payments of approximately Rs 12 lakh each, to complete contract formalities. Furthermore, he was instructed to pay Rs 20 lakh for the interior decoration of the franchise outlet at the Pune International Airport.

Later, individuals posing as senior executives presented the victim with an enticing proposal to open franchises in Pune and Mumbai during the upcoming cricket World Cup. They demanded franchise fees amounting to Rs 82 lakh, and the victim complied by making payments of Rs 15 lakh and Rs 33 lakh, respectively. In less than a month, the victim had unwittingly transferred over Rs 1 crore to the fraudsters' personal accounts.

During the payment of Rs 33 lakh, the victim became suspicious and realized that he had been making payments to personal accounts rather than registered entities. After conducting further inquiries, he discovered the extent of the scam and promptly lodged a complaint with the Pimpri-Chinchwad police. An investigation is now underway to trace the cyber fraudsters, focusing on their cell phone numbers, email addresses, and bank accounts.

This incident serves as a cautionary tale for individuals seeking investment opportunities, highlighting the need for thorough due diligence and verification when dealing with franchise offers or financial transactions online. Authorities are urging the public to remain vigilant and report any suspicious activities to prevent falling victim to such fraudulent schemes.