Jai Sahu
In Kolkata, the Enforcement Directorate (ED) has successfully conducted a raid against the deceptive online gaming application known as “E-Nugget,” which tricked users by promising unusually high returns on investments. The ED revealed that although E-Nugget appeared to be a benign gaming platform, it was actually designed to funnel money from unsuspecting participants.
Modus Operandi of the Scam
E-Nugget attracted individuals by offering the prospect of easy money. The application was easily accessible for download, and upon installation, users were prompted to deposit funds into their app-based wallets. The app enticed users with the promise of a three to four thousand percent commission just for maintaining a balance in the app and engaging in its games.
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Initially, the app rewarded users with substantial payouts directly to their bank accounts, fostering trust and encouraging further deposits. The legitimacy of the app was bolstered by offering games like online lotteries, which allowed players to win money. However, the scheme turned fraudulent when the app suddenly disabled all withdrawal options. It was also discovered that the app developers had collected users’ bank account details and personal information. In a final act of fraud, the scammers erased all admin contacts and server application details, effectively erasing any trace of their existence and leaving users with no recourse to recover their funds.
ED, Kolkata led a successful operation against a major “online gaming app scam” known as “E-Nugget”. The E-Nugget app, masqueraded as a gaming platform, promised users high returns on their investments. Crypto assets which were taken into possession of ED are transferred into…
— ED (@dir_ed) April 30, 2024
Latest Developments
The ED recently announced via a post on X that it has intercepted the crypto assets accumulated through this scam. These assets are now securely stored in the ED’s Crypto Wallet, preventing the scammers from accessing or transferring them further. The public is advised to remain vigilant and conduct thorough due diligence before investing in online platforms that offer unusually high returns. This case underscores the growing importance of digital and financial regulators in fighting cybercrime and safeguarding consumers against online fraud.