Monday, 8 June 2015

7 Fraud Schemes that Looted Millions of People in Pakistan

Pakistan is a country with 20 crore people and about 57% literacy rate. Government says that unemployment rate is 6% however ground reality shows completely different figures. Due to unemployment and illiteracy, people easily get caught in Ponzi schemes that promise to get them a huge amount of money in a very short span of time, with minimal efforts and that too without any kind of risk.

In previous 10 years alone, more than a million of people have become victim of such fake that sound too good to be true. Some of the most popular frauds and fake money-making scheme are listed below.

1) Double Your Money in 15 Days Scheme

It is one of the most popular fraud of Pakistan. Mr. Double Shah (his real name is Syed Sibtul Hassan Shah) used to double whatever amount of money was given to him within 15 days. Hailing from a small town near Gujranwala, he got cash flows of more than Rs. 110 billion ($1.1 billion) within 18 months of executing his ideas. From doctors, government officials to local citizens, he had more than 100,000 clients. At peak of his business, he started doubling money as per weight such as you give him 1kg of Rs. 1,000 notes and you get back 2kg of Rs. 1,000 notes within 15 to 30 days.

He was put in the custody of the National Accountability Bureau and was sentenced to 14 years Rigorous Imprisonment and fine equivalent to total liability against him less the amount recovered or being recovered in this case. - reference

2) Gold Mine Scheme

This is one of the popular Pyramid Schemes that looted thousands of people in Pakistan. In this type of scheme, each person recruits two further people and gets paid an attractive amount for recruiting. This scheme was run by a Norwegian company in Pakistan that looted thousands of youngsters in Pakistan.

3) Mobile Lottery Scheme

This fraud is executed in areas where literacy rate is extremely low. People behind such frauds get mobile numbers of people from such areas, make them a phone call, and tell them that they have won an exciting amount of money. They further demand to visit their office along with some documents in order to get that amount of money. When the person visits their office, these people snatch all the belongings or demand them to pay a certain amount of money in order to start the procedure, upon getting the money, they run away from their fake offices.

4) Home-based Online Jobs

Such jobs are advertised on social media websites or through flyers and posters. Victim pays a few thousand rupees for the registration, and then, he is given such a complex home-based online job that he leaves it even before getting his first payment.

5) Dream Jobs in Foreign Countries and Visa Frauds

This kind of fraud is normally executed to labor class. Jobs are advertised in newspapers and when poor jobless people contact such agencies, they either get into their traps and loose all money, or if they are lucky enough to get visas, they are never get the promised jobs and many of them return back in disappointment.

6) Captcha and Data Entry Jobs

This is another kind of most common fraud. It is kind of fraud mentioned above in point number four, however this is slightly different. People doing such frauds actually have their offices where you perform data entry jobs. Victims pay a registration fee for joining such jobs and they are given close to impossible tasks to be performed in a single day. People leave such jobs within their first month in disappointment.

7) Lucrative Investment offers

NAB arrested several people involved in a Ponzi scheme being run in KPK across the province. They had setup a business and lured 2,500 people into investing money in their business that, according to them, was an Islamic way of investment. All the people involved in this business were arrested, however Religious scholars had issued a decree in the company’s favour and declared its operations as ‘purely Islamic and interest-free.’ - reference

Comments do not need admin's approval to be seen here. They are posted immediately once you submit. (Spam and Abusive comments will get deleted)

Contact Form


Email *

Message *