The founder of the $4 smartphone firm has been arrested for fraud


So it turns out some things really are too good to be true – last year, a smartphone called the Freedom 251 was released in India for the equivalent of just $4. While it certainly did not excel in the specs department, its extremely low price made it pretty attractive, particularly to low-income parts of the country. Unfortunately for them, Mohit Goel, the founder of Ringing Bells, the device's maker, was recently arrested on allegations of fraud.

The incident which prompted the arrest was the result of an unfulfilled order, according to the police. A handset dealer ordered devices amounting to 3 million Indian rupees ($45,000), but reportedly received only a small amount of the order. Some of the received phones, which amounted to 1.4 million rupees, were also defective, and when the dealer contacted Ringing Bells for a refund, Goel and another executive reportedly threatened to kill him and his family.

Launched in June last year, the Freedom 251, which is named for its price in rupees, sold for less than its manufacturing costs, and some people at the time alleged the firm may in fact be a Ponzi scheme. Goel has been detained for interrogation, and an investigation on the matter is underway.

source: Reuters

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19 Comments

1. liberalsnowflake

Posts: 273; Member since: Feb 24, 2017

LOL just like south korean samsung Indian tech companies are fraud too

2. RajRicardo

Posts: 490; Member since: Feb 28, 2014

You should stand on a chair to raise your IQ. :/

9. liberalsnowflake

Posts: 273; Member since: Feb 24, 2017

Does all your fellow Indians do that to raise their IQ level .

21. steodoreben

Posts: 379; Member since: Sep 26, 2013

@liberalsnowflake Apple is one of the biggest fraud co.

3. liberalsnowflake

Posts: 273; Member since: Feb 24, 2017

"Raising my IQ "lol im not a Indian like you who falls for stupid fraudulent scams.

7. IT-Engineer

Posts: 534; Member since: Feb 26, 2015

calling all indians stupid? you really are something.. What, didn't you have enough love as a child?

4. GreenMan

Posts: 2697; Member since: Nov 09, 2015

I don't mean to offend anyone, notably Indians but... I myself know an Indian man who 'claims' that he buy iPhones on contract and get them insured for accidental coverage (including theft), when he goes to India, he brings it along as his personal cell phone (No law against it) and then he sells it in India's used smartphone market for a HEFTY SUM cause iPhones are VERY VERY EXPENSIVE there...! Then he submit a false theft report (Known as F.I.R or First Informant Report over there) in a local Indian police station, brings its copy along and claims a new phone from the carrier when he gets back for FREE...! I don't know if he lies about it or not but... Well, it seems quite 'plausible' to this old man... G'Day!

6. Tyrion_Lannister unregistered

As an Indian, I don't find it surprising at all. Frauds like that are common here. People try to abuse any nice service or product provided to them. However, I guess frauds occur everywhere and we just need to be aware of how to be smart and avoid them. If you have half a brain, you know that naughty singles in your area do not want to meet you and you are not going to win a million dollars at random through a phone call.

8. IT-Engineer

Posts: 534; Member since: Feb 26, 2015

I am not an indian, and i do get your point. But remember india has a population over 1 billion people. So fraud, murder, rape and theft and so on will appear higher in india and china because of the high population.

15. RajRicardo

Posts: 490; Member since: Feb 28, 2014

At least we don't nuke entire cities.

18. andynaija

Posts: 1255; Member since: Sep 08, 2012

What do you mean by "At least we don't nuke entire cities"?

20. uzimafioso

Posts: 469; Member since: Jul 15, 2014

One toe over the LoC and we'll nuke your asses back to vishnu or ram or whatever other animal you lick, effing cow piss drinking pigs.

5. tech2

Posts: 3487; Member since: Oct 26, 2012

So stereotyping the Indians has begun. I am late it seems :/

17. avishekmukherjee

Posts: 362; Member since: Apr 09, 2015

Mr liber has a little IQ.

* Some comments have been hidden, because they don't meet the discussions rules.

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