🪙 All That Glitters Is Not Gold
In 2015-2016, initiatives like “Make in India” and “Digital India” were at their peak. A Noida-based company tried to do something good, or something too good to be true.
In 2015-2016, initiatives like “Make in India” and “Digital India” were at their peak. A Noida-based company tried to do something good, or something too good to be true.
With a phone consisting of 1 GB RAM, a quad-core processor, a dual sim and a bundle of other features which were way too much for its trivial price of ₹251. Many suspicions were raised about it being a fraud.
Unfortunately, it didn’t disappoint and turned out to be one of the most bizarre scams to ever happen in India.
🛑 Early Signs
On February 17, 2016, a company named Ringing Bells launched the Freedom 251. Although the launch didn’t mean you could walk into a store and grab a phone.
On February 17, 2016, a company named Ringing Bells launched the Freedom 251. Although the launch didn’t mean you could walk into a store and grab a phone.
They promised to set up their plants in Noida and Haridwar and then deliver them after a span of six months, that too after an advance payment of the phone, which in a way was an early indication of this fraud.
They were flooded with millions of orders and, according to a survey, had collected an exuberant amount of ₹145 crores.
While many assumed it to be a straight-up scam due to the controversies it stirred, others agreed that it probably was a fraud but still ended up purchasing the device, thinking that even if it was, it was just a matter of ₹251.
📝 False Claims
The owner, Mohit Goel, said the cost of building the phone was ₹1,719 but he insisted that they didn't want to earn profits and just wanted to use the Digital India scheme to make mobile phones accessible to the people of India.
The owner, Mohit Goel, said the cost of building the phone was ₹1,719 but he insisted that they didn't want to earn profits and just wanted to use the Digital India scheme to make mobile phones accessible to the people of India.
The company even claimed that the defence minister, Manohar Parrikar, would be present for the product launch, but his absence raised further doubts. Yet they continued to make attempts just to try to show that the government was involved with the project.
So initially, people were promised that their phones would be delivered by July 28, 2016, which was then extended to December 2016 and, to no surprise, the phones still weren't delivered.
The company claimed that not only did they deliver 5000 units of the Freedom 251 but also provided a refund to those who pre-booked the device and didn't receive it. People started complaining, and many FIRs were filed with the police.
🔒 The End
Mohit Goel, the man behind Freedom 251, was arrested in 2017, but what is really bizarre is that he managed to perform somewhat of a Ponzi scheme.
Mohit Goel, the man behind Freedom 251, was arrested in 2017, but what is really bizarre is that he managed to perform somewhat of a Ponzi scheme.
To get out of the jail sentence only to get involved in another fraud case which was reportedly worth ₹45 lakhs, for which he was arrested again in 2021.
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