Muzaffarnagar: The Rise and Fall of a Ponzi Scheme
Sitting in a rented office in Haridwar, a 28-year-old B.Com graduate dreamt of becoming a billionaire. Rather than embarking on the conventional path of a tech startup or product invention, he crafted an elaborate lie—a deceit that would ensnare 50,000 unsuspecting investors. This scheme cost them their life savings and culminated in a staggering fraud amounting to ₹123 crore. The promises of quick returns and extravagant lifestyles eventually crumbled following a cryptocurrency market crash in late 2024, wiping out approximately ₹95 crore of investor money.
The Making of a Scam: From Salesman to “Senemi Consulting”
In a small village named Khedki, near Purkazi town in Muzaffarnagar district, lived Amit Gautam, an ordinary man with grand aspirations. Once a salesman for a beauty product company making between ₹60,000 and ₹70,000 a month, he decided to quit his job in 2022 and founded Senemi Consulting Pvt. Ltd. The company advertised “investment-driven beauty business opportunities.” Collaborating with Sarfaraz, a local LPG deliveryman with strong community ties, Amit devised a Ponzi-style plan that proposed investments ranging from ₹12,000 to ₹12 lakh, boasting an enticing return of 2.5 times the investment within just 16 months.
To create an air of legitimacy, every investor was compelled to buy at least ₹500 worth of beauty product vouchers. Holding a grand seminar in Purkazi in 2023, they attracted around 200 participants, where early investors received small, enticing returns that instilled a false sense of security.
Beauty Products as a Cover for a Financial Trap
The scheme rapidly expanded, reaching areas like Dehradun, Haridwar, Roorkee, Saharanpur, Meerut, Ghaziabad, Noida, Delhi, and Yamunanagar. By 2024, Senemi Consulting had amassed an astonishing ₹123 crore. Investigations later revealed that Amit’s firm had funneled this money into Delta Exchange, a trading platform, claiming to generate ₹395 crore in profits—assertions that remained unverified. Ultimately, these funds found their way into volatile cryptocurrency markets, where the bubble subsequently burst.
The Collapse: When Crypto Crashed
Things took a dramatic turn in September 2024 when the global cryptocurrency market plummeted sharply. Senemi Consulting reportedly incurred a massive loss of around ₹95 crore overnight, leading to a cessation of investor payouts. By early 2025, the company’s offices, warehouses, and local marts closed their doors, its website vanished, and directors Amit and Sarfaraz disappeared into thin air.
Alarmed investors wasted no time in filing complaints with the Muzaffarnagar Police, resulting in numerous FIRs across Purkazi and Civil Lines police stations. The turning point came on October 7, 2025, when law enforcement apprehended Amit Gautam, Sarfaraz, and Dr. Shadab, seizing about ₹8 crore worth of beauty products. Investigators are currently on the hunt for luxury assets and real estate acquired with the ill-gotten gains.
Victims’ Voices: “I Sold My Truck to Invest”
The human toll of this elaborate scam is palpable, with countless individuals left in financial ruin. Among the defrauded is Azeem Khan, a truck owner from Purkazi, who stated, “I sold my old truck and invested ₹5 lakh. For three months, small returns came regularly. Then everything stopped. I went from being a business owner to a daily wage earner. The police have promised justice — but our savings are gone.”
Dr. Naved, another victim, recounted how potential investors were lured through lavish public events, noting, “They organized big seminars in Purkazi and Chandigarh. We were promised doubled returns and even luxury cars. Initially, our wallets showed virtual balances — but that money was never released. Now, we’re just waiting for justice.”
Fortuner Cars and Lavish Lifestyles
Investigations reveal that the masterminds of the scam indulged in extravagant lifestyles funded by investors’ money. Sarfaraz, the gas deliveryman turned “executive,” even received a Toyota Fortuner as a “reward” for his involvement. Locals reported that several small-time agents from Purkazi are now seen cruising around in luxury vehicles, all purchased with proceeds from the fraud.
Police Action: “Assets Will Be Seized”
The local police, spearheaded by the SP City overseeing the investigation, expressed concern over the scheme’s ramifications, stating, “The primary accused, Amit Gautam, created this company two years ago and lured people with promises of 16% monthly returns. Initially, small payments were made to gain trust. Now, our focus is to trace all properties purchased using fraudulent funds. Every such asset will be seized.”
The Dream That Became a Curse
What started as a seemingly harmless beauty business spiraled into one of western Uttar Pradesh’s largest crypto-linked Ponzi scams. Amit Gautam’s ambition of amassing wealth may have briefly paid off but it left a trail of devastation in its wake, impacting thousands of families across multiple states.
In Purkazi, the aftermath of this debacle continues to weigh heavily on the community. Many victims have not only lost their financial savings but also their livelihoods. Amidst ongoing investigations, one enduring truth resonates through the alleys of this small town—the quest for easy money often extracts a harrowing price.
