Jaipur Police Expose Cyber Fraud Network Using Workers' KYC Data

Investigators have dismantled a cybercrime operation that allegedly exploited personal identification documents of laborers in Rajasthan to establish financial infrastructure for illicit activities.

Investigation Details

The network reportedly facilitated money laundering through bank accounts, cryptocurrency transactions, and informal financial channels linked to Dubai. The accused, Vikas Dhaka, a resident of Basni village in Sikar district, was detained in Jaipur’s Vaishali Nagar area.

According to Deputy Commissioner of Police (West) Prashant Kiran, Dhaka arrived in the city approximately 20 days prior to the arrest to expand the scheme by creating additional mule accounts and payment gateways.

Operation Scope

Law enforcement believes the operation spanned multiple districts and involved a network of intermediaries. Authorities allege that Dhaka and associates targeted workers at hospitality venues in Jaisalmer and Sikar, offering compensation in exchange for their Know Your Customer (KYC) documentation.

KYC Exploitation

These materials were used to open current and savings accounts with private banks and payment institutions. The group also acquired merchant QR codes via Airtel Payments Bank, which were later provided to cybercriminals and illegal betting platforms in return for financial incentives.

Money Laundering Methods

Over a two-year period, investigators traced transactions totaling approximately ₹24 crore. Funds generated from cyber fraud and illicit betting activities were allegedly converted into USDT, a stablecoin pegged to the US dollar. The money was then transferred through cryptocurrency platforms and hawala systems connected to Dubai before being reintegrated into India as purportedly legitimate funds.

Recovery and Forensic Analysis

During the investigation, police recovered nine mobile devices, eight Fino Payments Bank debit card kits, and Google Pay scanner rolls. Forensic analysis of these items aims to uncover cryptocurrency wallets, digital keys, and communication records related to active bank accounts.

Ongoing Investigation

Law enforcement is also probing individuals involved in gathering KYC data, managing mule accounts, facilitating hawala transactions, and coordinating with overseas entities. The case remains under active scrutiny as authorities work to map the full scope of the network’s activities.

Expert Advice

The incident underscores the vulnerability of personal identification information to exploitation by organized crime. Experts advise individuals to refrain from sharing KYC documents or allowing third parties to manage bank accounts in their names for financial gain.