GHAZIABAD: Nine years after demonetisation, crores of invalidated Rs 500 and Rs 1,000 notes remain stashed with people, sustaining a grey market large enough for organised fraud. This was evident from the arrest of eight members of a gang over the last two weeks. The men were allegedly behind a multi-level racket that trapped clients, mainly traders and middlemen still hoarding invalid notes, via social media sites by promising discreet conversion of demonetised currency in exchange for hefty commissions. Investigation revealed that no currency was ever exchanged, and the gang simply collected bundles of demonetised currency and their advance fees before vanishing. Police have so far recovered demonetised notes worth Rs 3.9 crore from their stash. “Most victims never approached police because their own transaction was illegal,” Trans-Hindon DCP Nimish Patil said. “The fraud operated through a structured, three-tier chain. The first tier, which included the recently arrested SK alias Sharik and Abhinav alias Rahul Buddhi Raja, handled negotiations with victims and offered assurances of converting the notes at 25% of face value. The second comprised collectors who sourced demonetised currency directly from clients, and the third consisted of couriers who transported the notes to designated handover points.“ Police said the gang used WhatsApp, Telegram and encrypted calling apps to connect with potential clients. Conversations were coded, identities were masked, and SIM cards were changed frequently to avoid tracking. Abhinav, identified as the mastermind, coordinated activities across the chain and handled communications between collectors and couriers. In two rounds of arrests-first on Oct 31 and then on Nov 6 night-cops also nabbed Fakhruddin, Nasruddin, Shubham Chaudhary, Arun Kashyap, Mahesh Prasad and Jitendra Kumar. An FIR has been registered under BNS sections 318(2) (cheating), 62 (punishment for attempting to commit offences), 61(2) (criminal conspiracy) and 3/5 (common intention) and 5/7 of the Specified Bank Notes (Cessation of Liabilities) Act, 2017. Police are now examining the digital trails and financial links between the accused and their clients. Investigators say two to three other suspects named in the FIR are yet to be traced. For now, officers are expanding their focus to traders and middlemen who approached the gang, the very people who kept this underground market alive. “Victims rarely report these cases because they fear legal consequences. That secrecy is what the gang exploited for years,” the DCP said.
