In what is believed to be the India’s biggest wallet scam, a Gurugram based company TalkCharge has allegedly defrauded individuals of Rs 5,000 crore.
TalkCharge’s Deceives with Extraordinary Cashback Scheme
As per the reports, the company lured its users of substantial cashback returns promises. It was after a series of fraudulent activities that the company founded by Ankush Katiyar halted its operations in April 2024.
There are victims like Ramavtar Sharma from Rajasthan, who invested heavily and took out loans believing in guaranteed returns, have reported severe financial losses. The company indulged in deceptive practices wherein the company offered extraordinarily high cashback rates, such as Rs 7,50,000 on a deposit of Rs 59,999 and despite having nearly 2 million downloads, the app had concerning ratings that went largely unnoticed until it was too late.
Initially started as a prepaid payment service, the company later shifted its focus to enticing cashback deals which captured the attention of many investors. It was in the month of July 2023 that the company imposed a 20% convenience fee, an unusual move that was soon followed by a deceptive promotional offer to bypass these fees.
It was in the month of January 2024 that the fraudulent transactions began, wherein customers started reporting that the payments were made by their end, but were not received by their vendors. In the month of March 2024, the app’s services and withdrawal options were completely suspended.
The victims are from all walks of life, from small business owners to high-ranking executives and 800 such people are affected by this scam. The Co-founder of company, Shivani Maheshwari also faces scrutiny. Notably, she has no prior corporate experience.
Katiyar Arrested, FIRs Filed Against TalkCharge Promoters
As a part of action, FIRs have been filed against the promoters of the company, including Katiyar and Maheshwari, with investigations ongoing by the Economic Offences Wing of Gurugram Police.
It was on September 4, 2024 that Katiyar was arrested by the Delhi Police. Now that the authorities have taken over the case and we have to wait to see justice is served in what form but the overall case throws light on the effectiveness of regulatory mechanisms and enforcement agencies, as multiple complaints to RBI, SEBI, Income Tax, and GST departments remain unaddressed.
