Imagine, you get a call from someone claiming they can turn your ₹5 lakh into ₹50 lakh through ‘expert’ trading. No documents, no compliance, no questions—just unbelievable returns. Too good to be true? It absolutely was.
From November 2024 to August 2025, thousands of Indians walked straight into this trap. A bogus trading network called Green Wall Enterprise—working with its so-called partner, iTrade Associates—vanished with over ₹150 crore of people’s savings.
This scam isn’t just another headline. It shows how easily the trading ecosystem can be twisted—and why knowing how to protect yourself is no longer optional.
The Scam in Simple Terms
Think of a Ponzi scheme mixed with fake trading. Green Wall Enterprise wasn’t a real broker. It was an unauthorized agent pretending to offer “proprietary trading” accounts.
But here’s the catch: they weren’t actually trading your money on the stock market. Your dashboard showed fake profits. Your money sat in unregistered accounts. And when things started falling apart, everything disappeared in a single day.
How They Trapped People (The Modus Operandi)
The Basic Hook
They offered something the real market doesn’t allow: extreme leverage without paperwork.
Here’s how it worked:
Why People Fell for It
- No KYC (Know Your Customer) process – This normally protects you, but also seems like a “special shortcut” to traders
- Real-looking dashboards – Screenshots of profits looked genuine
- Timely payouts – For 9 months, interest payments arrived on schedule, building false trust
- Agent networks – Unregistered agents like iTrade Associates promoted it through WhatsApp groups and Telegram channels, using social proof (“Look at these returns!”)
- Word of mouth – Friends and family who got initial profits recommended it to others
Who Was Behind This?
The Timeline: From Trust to Terror
The entire scam followed a predictable pattern. For nine months, everything looked normal. Traders got their monthly interest. The system worked. Then, on August 14, 2025, all terminals went offline simultaneously. Agents stopped answering calls. The founders disappeared. Traders found their accounts frozen with zero access to their money.
How Big Was the Damage?
The losses grew as investigations deepened:
- Initial estimate: ₹5 crore (early reports)
- Later revised: ₹22-40 crore (as iTrade and other networks surfaced)
- Final estimate: ₹150+ crore (when SEBI included all affected regions: Surat, Delhi, Mumbai, Chennai, Kolkata, Bangalore, Hyderabad)
Why don’t these losses appear in official statistics? Because these trades never actually happened on real exchange accounts. They existed only on fake dashboards. This is why SEBI’s reported 91% loss rate among F&O traders doesn’t include these victims—their accounts were phantom accounts from the start.
A Real Victim's Story
Krishna Yadav, a former merchant navy captain, invested his entire life savings into this scheme. He was promised ₹50 lakh leverage with just ₹5 lakh deposit. He believed it. He deposited more money. When it collapsed, he had nothing left.
In his own words:
“I invested my lifelong earnings. Now my capital is gone, and the income I was getting from trading is also finished. Today I have nothing left.”
This wasn’t greed. This was trust betrayed.
The Red Flags Everyone Missed
Here’s what should have triggered alarm bells:
What SEBI and Police Are Doing Now
SEBI’s Response:
- Ordered exchanges to investigate all prop-trading account misuse.
- Proposed new rules: Every prop terminal must have a unique MAC address and static IP to track the exact physical location.
- Investigating fake NISM certificates (thousands were forged).
- Reviewing broker regulations to formally define “proprietary trading”.
Police Investigation:
- Surat Police registered FIRs under fraud, criminal breach of trust, and conspiracy charges.
- Hiren Jadav arrested; Nimit Shah still absconding.
- Economic Offences Wing (EOW) expanded the investigation across multiple states.
Income Tax Department:
- Issued notices to brokers requesting explanations for unauthorized transactions
How to Protect Yourself: A Simple Checklist
Before you give money to ANYONE for trading, ask yourself:
If ANY of these is missing, STOP immediately. You’re not trading. You’re sitting in a backroom casino.
The Lesson: What Went Wrong Systemically?
The system had gaps that the scammers exploited:
- Increase in futures lot sizes – Made it easier for unregistered entities to offer illegal leverage
- Remote terminal access – Terminals registered in Surat were controlled from Delhi, Jodhpur, and Kolhapur—hard to track
- Fake employees and certificates – Brokers posed outside traders as “employees” with forged NISM certificates
- No clear prop-trading definition – Until now, SEBI regulations have not formally defined what “proprietary trading” means
- Weak inspection mechanisms – Auditors couldn’t distinguish real employees from fake ones
What's Next?
The story isn’t over. As of November 2025:
- Ongoing investigations in multiple states.
- New regulations will mandate MAC/IP tracking for all prop terminals (making remote access traceable).
- Brokers face scrutiny – SEBI is reviewing why proper oversight failed.
- Victim recovery – Unclear how much money traders will get back (depends on police action and asset recovery).
The Final Truth
Here’s what you need to understand: If your money isn’t in your own regulated trading account, you don’t own it. Period. No shortcuts. No “special deals.” No amount is too good to be true.
The ₹150 crore that disappeared wasn’t lost in the market. It was stolen by people who created the illusion of trading while pocketing your money. The system worked for 9 months only because new money kept coming in (classic Ponzi move). When fresh investors dried up, the whole structure collapsed.
The good news? You can protect yourself. The bad news? Thousands didn’t. Learn from their mistake.
Before you trade, ask one question: Is my name on this account? If the answer is “no,” walk away immediately.
Disclaimer: Investments in securities are subject to market risk. This blog is for educational purposes only. Always verify broker credentials with SEBI before investing.
FAQs
Prop trading means brokers trade using their own funds. In this scam, Green Wall pretended to offer prop accounts but used fake dashboards, no KYC, illegal 10x leverage, and collected money through random UPI accounts. No real trades happened.
Losses crossed ₹150 crore across multiple cities. The money went into personal accounts of the accused. Since trades were fake and no documents existed, most funds disappeared without any trace.
Losses crossed ₹150 crore across multiple cities. The money went into personal accounts of the accused. Since trades were fake and no documents existed, most funds disappeared without any trace.
Recovery is unlikely. With no KYC, no agreements, and no official accounts, victims have no legal claim. Police are investigating, but refunds depend on catching the accused and seizing their assets.
Real prop firms are regulated, use official accounts, and require evaluations. This scam used zero regulation, fake dashboards, instant approval, and illegal leverage. Easy entry is the first red flag.
SEBI is enforcing MAC/IP tracking for prop terminals, defining prop trading more clearly, and checking fake NISM certificates. But until rules strengthen, investors must stay vigilant and verify everything,
The information provided in this reference is for educational purposes only and should not be considered investment advice or a recommendation. As an SEBI-registered organization, our objective is to provide general knowledge and understanding of investment concepts.
It is recommended that you conduct your own research and analysis before making any investment decisions. We believe that investment decisions should be based on personal conviction and not borrowed from external sources. Therefore, we do not assume any liability or responsibility for investment decisions made based on the information provided in this reference.
