Fake gold fraud gangs target Hyderabad buyers, police issue warning
Police in Hyderabad have warned of rising fake gold frauds involving interstate gangs exploiting high gold prices. At least 25 cases have been reported in six months, with victims lured through fake deals and illegal gold offers at discounted rates.
Hyderabad: With gold prices continuing to climb by the day and with many seeing the precious yellow metal as a safe investment or asset, fraudsters are now actively exploiting people’s desire to purchase gold at lower rates.
Usually, middle-class families see the precious metal as a safe investment for their children’s education, weddings and future financial security. This growing demand, however, has opened the door for a new wave of fraudsters to cheat them.
Recently, the city police have identified many interstate gangs allegedly involved in fake gold frauds across Hyderabad and its surroundings. Gangs from Maharashtra, Andhra Pradesh, Uttar Pradesh, Bihar and Rajasthan, among others, have been operating in the city for the past few months, targeting homemakers, small traders and individuals looking for profitable deals on gold.
According to police officials, the fraudsters are employing a variety of tactics to gain the confidence of potential victims. One common method involves claiming that gold coins, bars or ornaments were discovered during excavations at old buildings or while searching for hidden treasure. Victims are initially shown genuine gold samples to establish trust before being offered larger quantities at heavily discounted rates.
In another modus operandi, gang members claim to possess smuggled gold brought illegally from abroad and offer it at prices significantly below market value. Once a deal is struck, victims are asked to bring cash to a secluded location. The fraudsters then either hand over fake gold or disappear with the money before the victim realises they have been cheated.
“People tempted by the prospect of quick profits often end up suffering double losses, losing their money and exposing themselves to legal issues for purchasing such illegal material,” said a police official.
It is learnt that at least 25 cases related to fake gold fraud have been registered in the last six months across the city police commissionerates. However, police believe the actual number of victims could be much higher, as several cases go unreported due to embarrassment or fear of legal scrutiny.
Police advised buyers to verify the authenticity of gold through certified jewellers and insist on proper documentation before making any transaction.
