What is the Trump Hotel Rental scam?
MORE THAN 200 people in Karnataka, India, have filed cybercrime complaints after losing nearly Rs 2 crore (about $231,700) through a fake mobile app called Trump Hotel Rental. The app used AI-generated visuals of U.S. President Donald Trump to lure investors, according to The Times of India.
The scam, now offline, promised quick returns, with some claims exceeding 100 percent. It reportedly ran for about six months before being reported.
“It has come to light that crores of rupees have been swindled across the country through fake links such as the Trump Hotel Rental scheme, which falsely promises to double your money. The public is urged to reject unknown links and remain vigilant,” stated a police release, according to First Post.
A 38-year-old advocate, whose name was withheld, told the Indian Express he deposited Rs 5,93,240 (about $68,800) between Jan. 25 and April 4 this year.
“In January this year, I came across shorts on YouTube that offered to invest in the Donald Trump Hotel,” the advocate said. “Upon clicking the link, it directed me to download a mobile application. I was asked to fill out a form and provide bank account details and the IFSC code.”
He said he was first asked to deposit Rs 1,500 (about $17.40), and in return, received Rs 30 (about $0.35) in his profile.
“I was paid Rs 30 every day and could withdraw it only after it crossed Rs 300 (about $3.48),” he was quoted as saying. “Since the money was credited on time and I was able to withdraw it, they started asking me to invest more. It began with Rs 5,000 (about $58) and went up to Rs 1,00,000 (about $1,157). Finally, they asked me to pay taxes to withdraw the funds, but never returned the money.”
The advocate said sometimes the app offered Rs 1,00,000 investment and Rs 1,00,000 returns in 24 hours.
“I know many people in the police, government departments, and private sector who have lost money,” he said.
The app’s dashboard showed increasing “earnings” for each completed task, such as writing company profiles, leading users to believe the returns were legitimate, The Times of India reported. Early payments encouraged victims to invest more, with repeated claims of doubling their money within 24 hours. The scam spread across Karnataka, affecting users in Bengaluru, Tumakuru, Mangaluru, Haveri and other areas, according to police.
In five to six months, the scheme duped over 800 people, the Times reported. More than 200 victims, including the advocate, have filed complaints claiming losses totaling nearly Rs 2 crore.
“The fraudsters used AI, social engineering, and app-based redirection,” a senior cybercrime officer in Bengaluru told The420.in. “Tracking the source of the deepfake videos and dismantling the app’s backend is difficult, as it is reportedly hosted on overseas servers.”
“The public is urged to reject unknown links and stay vigilant,” the police said.
The Ways and Means Committee recently advanced a tax package called “The One, Big, Beautiful Bill,” which includes a remittance tax that could heavily impact overseas Indians sending money or investing in India.
