Currency

Another accused in the ‘XITO Currency’ scam arrested in Bengaluru


HYDERABAD: The Economic Offences Wing (EOW) of the Cyberabad Commissionerate has apprehended another accused in connection with a fraudulent scheme that duped around 200 victims/public in Telangana and Andhra Pradesh to the tune of Rs. 2 crores.

The arrested accused, BN Satish, Director of XITO Consultancy Services Pvt. Ltd., was taken into custody on February 1, 2024, at 11:30 pm from his residence in Sangolli Rayana Junction, Hosakote, Bengaluru in Karnataka.

The scam, orchestrated through the website www.xcspl.com, involved promising massive returns on investments through GoFlyx in the name of ‘X coins of Digital currency,’ colloquially known as XITO currency in the market.

According to police, the accused, BN Satish, along with Avalakondappa Venkata Chalapathi, established XITO Consultancy Services Pvt. Ltd. in 2015 with its registered office in Bangalore. The company, in collusion with other accused, including Gadiraju Rajendra Prasad Raju, Guru Prasad, Pasam Venkat Prasad, and Jyothi, attracted innocent depositors with promises of significant returns on investments.

The accused company devised a fraudulent scheme on their website to enrol depositors, offering a 1:1 return for 3 months and 1:4 returns for 1 year, with a lock-in period of 3 months. Depositors would receive X-Coins equivalent to their investment, and the value of the X-Coin fluctuated daily. The accused successfully lured approximately 150 to 200 victims from Telangana and Andhra Pradesh, amassing around Rs 2 crores in deposits/investments.

When depositors demanded the return of their funds, the accused company failed to respond, leading to the closure of their office. One victim, T. Rajendra Prasad, deposited Rs. 6,50,000 in various installments, only to find himself seeking a refund as the company shut its doors.

In light of this incident, Cyberabad DCP (EOW) K. Prasad urged the general public to report any similar fraudulent schemes to the nearest police station or the Economic Offences Wing, Cyberabad, through WhatsApp at 94936 25553 or via email at eow-cyberabad@tspolice.gov.in.



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