Massive Rs 800 Crore Scam by OctaFX Busted by ED After Nine-Month Probe

New Delhi (The Uttam Hindu): The Enforcement Directorate (ED) has exposed a Rs 800 crore fraud linked to the forex trading platform OctaFX, revealing a sophisticated scheme that defrauded Indian investors within just nine months. The investigation, launched following an FIR filed by Shivaji Nagar Police Station in Pune in December 2021, uncovered allegations that OctaFX misled investors with promises of high returns through forex trading. The platform allegedly manipulated trades to create losses for investors while redirecting funds to shell accounts and entities posing as e-commerce platforms.

"OctaFX repeatedly changed its URLs and web addresses to avoid detection and continue its fraudulent operations," the ED reported. Funds were illicitly transferred overseas under the guise of fake import and freight services. The investigation also revealed that OctaFX utilized Estonian entities linked to its alleged mastermind, Pavel Prozorov, to finance influencer marketing and sponsorship deals, including promotions for an IPL team. The ED has so far seized and attached assets worth Rs 165 crore, including 19 immovable properties in Spain owned by Prozorov. On December 24, 2024, the Special PMLA Court in Mumbai acknowledged the ED’s prosecution complaints against OctaFX.

Further investigations into the case are ongoing.