Myntra Refund Scam: Here’s How the Company Loses Rs 1 Crore to Fraudsters

India has witnessed a rise in scams, including online, digital payment, crypto scams, and many more over the past few years. Another scam that’s making its way in India is the Refund Scam that has struck one of the biggest online e-commerce companies, Myntra. The company has recently lost Rs 1 crore to Refund Scam between March and June. The fashion E-commerce giant has reportedly been duped by fraudsters and registered a complaint and FIR in Bengaluru. Also Read: Doctor Loses 36 Crores After Clicking A Facebook Ad Of Fake Investment Scam: How To Stay Safe

What’s The Matter and How the Scam Works?

The scammers who are targeting the platform placing a bulk order, including footwear, clothes, handbags, jewellery, and many others. These orders were either placed on COD or in some cases made an online payment. As soon as the order is delivered, the scammers will raise a complaint stating that some of the items are either missing, mismatched or they didn’t even receive the order. They claimed for a refund and the company would initiate it based on their complaint which led to fraudulently receiving their payment in multiple accounts causing a huge amount of loss to the company. Also Read: Google Issues Gmail Scam Warning to 2.5 Billion Users: Here’s What You Need to Know

Myntra conducted an internal audit which revealed that the company has been hit by a massive fraud by scammers and witnessed a loss of almost Rs 1 crore. The audit revealed the 5,529 fraudulent orders alone from Bengaluru. However, most of the orders were placed from Jaipur. The reports also claim that the actual loss from the company is way more than Myntra claims. The actual loss is almost 50 crore which is not reported by Myntra. The company has been advised by police to register complaints city-wise. Police have registered a case under the IT Act and IPC sections 419 and 420. Also Read: NPCI Warns People about Digital Arrest Scam: Check Out What Advisory Says and How to Protect Yourself