Colombo, July 23, 2024 — In a major crackdown, the Criminal Investigation Department (CID) has arrested three individuals, including a woman, involved in a large-scale pyramid scheme that defrauded investors of approximately 350 crore rupees. The scheme, marketed under the term R3F, also known as Ride To Three Freedom Sri Lanka, promised lucrative returns through a digital currency platform.
The Financial Crimes Investigation Unit of the CID had been investigating numerous complaints about this fraudulent scheme, which enticed participants with claims of substantial financial gains. Advertisements on social media platforms led around 5,500 people to invest in the R3F application, which allegedly promised to quadruple investments within 10 months and provide a 1% daily dividend.
As the investigation unfolded, it was discovered that the perpetrators had established about 31,000 accounts to facilitate the scam. Initially, the suspects paid out around 50 crore rupees to customers as supposed profits, while the remainder of the funds was reinvested into similar fraudulent schemes.
The arrested individuals are currently being interrogated, and authorities are working to track down additional victims and recover the embezzled funds.
