Over 200 investors across Karnataka have collectively lost nearly ₹2 crore to a sophisticated online scam involving a fake “Trump Hotel Rental” app. This fraudulent platform used AI-generated videos and images of former US President Donald Trump to lure victims with promises of exceptionally high returns and remote work opportunities.
Police investigations suggest the number of victims could exceed 800, with some individuals reportedly investing over ₹10 lakh. The app operated for around five to six months before being taken down.
Authorities across multiple districts have registered FIRs and are intensifying their probe, urging more victims to come forward. Cybercrime experts have also issued detailed warnings and practical advice to help the public avoid falling prey to such scams.
AI-Driven Fraud and Its Human Toll
The scam began by enticing users to pay a registration fee, typically ₹1,500, after which small returns were credited to build trust. Victims—ranging from lawyers and students to government employees—were then encouraged to invest larger sums, sometimes reaching lakhs of rupees.
The app’s dashboard displayed fabricated earnings from tasks such as “renting out” virtual hotel rooms or completing work-from-home assignments, creating an illusion of steady income. For example, a Bengaluru-based lawyer disclosed losing nearly ₹6 lakh between January and April 2025 after responding to a YouTube advertisement featuring an AI-generated video of Donald Trump promoting the app.
SR Ganachari, Circle Police Inspector of the Cybercrime, Economic Offences, and Narcotics (CEN) unit, explained, “Each task completed by an investor appeared to increase their earnings on the app’s dashboard, but the money was never real.”
Haveri Superintendent of Police Anshukumar added, “By offering small returns initially, they gain the user’s confidence, then promise higher returns at the next level and coax users into investing more, before disappearing with the money.”
Expert Advice: Safeguarding Yourself Against Digital Scams
In light of this alarming scam, law enforcement and cybercrime specialists have issued comprehensive advice to the public. Haveri SP Anshukumar cautioned, “People should avoid downloading unauthorised apps, especially those promising quick money or loans, as these are often scams. Fraudsters misuse the names and images of well-known personalities to gain credibility, so everyone must remain vigilant.”
Inspector Ganachari of the CEN unit urged victims to promptly report any suspicious activity to their nearest police station, emphasising that timely complaints are crucial for tracking and apprehending perpetrators.
Cybersecurity experts recommend several practical measures: always verify investment platforms through official websites or regulatory bodies; never share personal, financial, or OTP details with unknown apps or contacts; be sceptical of offers promising unusually high or guaranteed returns; and avoid clicking on unsolicited links received via social media or messaging apps.
Additionally, experts advise installing trusted antivirus software and regularly updating devices to protect against malware that scammers may use to steal sensitive information.
The Logical Indian’s Perspective
This distressing incident highlights the critical need for enhanced digital literacy and community awareness in an age where cybercriminals exploit advanced technologies like AI and the reputations of public figures to deceive innocent citizens. Beyond financial loss, such scams erode trust in digital platforms and deepen the sense of vulnerability among users.
The Logical Indian urges society to cultivate empathy for victims, advocate for stronger cybercrime prevention measures, and prioritise education on online safety for all age groups. We believe a collective, informed response rooted in kindness and vigilance is essential to building a safer digital environment. How can we, as individuals and communities, better empower ourselves and others to recognise and resist such sophisticated scams?