Operation ‘Cyber Vajra’: Varanasi Police Bust Interstate Fake MLM Racket; 300 Trainees Rescued

VARANASI — In a major breakthrough against organized financial fraud, the Varanasi Cyber Crime Police, operating under the statewide ‘Cyber Vajra’ campaign, has dismantled a massive interstate multi-level marketing (MLM) and pyramid scheme racket.

A well-coordinated police raid led to the arrest of 19 individuals, including the suspected mastermind, and the successful rescue of nearly 300 unemployed youth who were being held and manipulated at a fraudulent training facility.

The Modus Operandi: Fake Jobs & Psychological Control

According to senior police officials, the syndicate operated under the banner of a front company named Mahadev Enterprises, falsely claiming to be a franchise of Royal Health Wellness Pvt. Ltd. The gang actively targeted vulnerable, unemployed youths across Bihar, Jharkhand, and Madhya Pradesh, luring them to Varanasi with the promise of corporate desk jobs, agricultural roles, or openings with Tata companies offering a fixed monthly salary of ₹25,000.

Upon arriving in Varanasi, the victims were subjected to mock interviews inside a professionally designed, corporate-style office to build legitimacy. Once "selected," the trap was sprung:

• Exorbitant Joining Fees: Trainees were forced to pay between ₹30,000 and ₹35,000 as upfront registration and joining fees.

• The "Welcome Kit" Illusion: In return, they received a basic kit containing clothing, oils, and soaps valued at no more than ₹1,000 to ₹2,000.

• Brainwashing Seminars: The victims were then moved to a secluded training center where they underwent severe psychological manipulation, forced to aspire to extreme luxury while being ordered to recruit at least three friends or relatives into the pyramid chain.

• Coercion: Those who refused or failed to bring in fresh recruits were threatened with a total withholding of their salaries and the denial of refunds.

Seizures and Massive Financial Trail

CategoryItems Confiscated / UncoveredArrests19 individuals (Mastermind identified as 31-year-old Deepak Kumar Shah from Jamui, Bihar)Digital Evidence20 mobile phones (including an iPhone 17 Pro containing operational chats/audio), 1 ASUS laptopAssets & CashLuxury four-wheelers, corporate registries, and physical cashTransaction VolumeNearly ₹4 crore credited to the gang's bank accounts over the past year

Links to Cyber Crime Portals

Beyond the pyramid operational layer, investigators discovered direct ties to active digital theft. Police revealed that the gang's operations had already flagged five official complaints on the National Cyber Crime Reporting Portal (NCRP), alongside four independent written complaints filed by individuals who realized they had been duped.

Statutory Warning for Job Seekers

Following the massive raid, the Varanasi Police administration issued an urgent public advisory to prevent further exploitation of rural youth:

"No legitimate corporate organization or company demands a cash deposit, registration fee, or security bond in exchange for a job offer. If an employer forces you to pay money to get hired, it is a scam."

Authorities have urged the public to remain vigilant. Anyone who has fallen victim to a similar job racket or suspects fraudulent activity should immediately report the incident by calling the national cyber helpline at 1930 or by lodging an official complaint online at cybercrime.gov.in.