Forex Fraud Kingpin Arrested in Delhi: CBI Uncovers Multi-Crore Scam Network

Forex Fraud Kingpin Arrested in Delhi: CBI Reveals Multi-Crore Scam Network

Delhi Police Crime Branch has arrested 31-year-old Krishna Kumar Sharma, the alleged mastermind of an interstate forex fraud racket that duped victims of crores through fake currency exchange deals. Sharma, who operated under multiple aliases and posed as a film producer and elite businessman, had been evading arrest for months before being captured in Uttam Nagar’s Kiran Garden area.

Investigators say his sophisticated setup — from luxury hotel meetings to drugging victims - reveals one of the most elaborate financial deception networks uncovered this year.

Kolkata Court Issued Arrest Warrant Days Before Capture

Just a day before the arrest, a Kolkata court had issued a warrant against Sharma in a ₹14.5 lakh foreign exchange fraud case. Officials said he used the same pattern: promising inflated exchange rates, collecting cash, and disappearing.

His fraud trail extends to multiple states. In May 2024, he allegedly conned a Delhi businessman of $25,000 using identical tactics, cementing his reputation as a high-value offender skilled at vanishing across state lines.

Drugged Victims and Escaped with Foreign Currency

One of the most shocking accounts came from a case where Sharma allegedly drugged an employee of a victim during a staged forex meeting. The man became unconscious after consuming water laced with sedatives, enabling Sharma to flee with foreign currency meant for exchange.

He was caught in the case but later jumped bail and began operating covertly, shifting between cities to avoid police surveillance.

Luxury Hotel Setups and Elaborate Meeting Traps

During questioning, Sharma described how he used five-star hotels to create an aura of legitimacy. Victims were invited to suites for “secure transactions.” Once inside:

• A co-conspirator would pretend to fetch Indian currency

• Meanwhile, he escaped through a secondary exit

• Sharma and team would leave the city within hours

These operations were timed deliberately between 11 a.m. and 2 p.m., when hotel lobbies remained quiet, reducing the chance of witnesses noticing suspicious activity.

Use of Encrypted Apps and Fake Identities

Police uncovered a sophisticated digital strategy behind the fraud. Sharma’s network used:

• Encrypted messaging apps

• Rapid SIM card switching

• Fake business and personal identities

• Female associates carrying chili spray and chloroform for “risk management”

The operation spanned Delhi, West Bengal, and Maharashtra, with the group constantly staying mobile to obscure digital and physical trails.

From Event Management to Coordinating a Crime Network

Sharma, a commerce graduate from the University of Calcutta, once ran a legitimate event management firm called Ace Entertainment. He even produced a music video in 2019 for a major label.

However, financial losses during the pandemic allegedly pushed him into organised fraud. Police say his nephew Mayank Sharma and other aides played crucial roles in arranging fake meetings and handling cash rotations.

Authorities believe the network may have defrauded dozens more victims who have yet to come forward.

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