Multi-State Cyber Fraud Network Worth ₹1,500 Crore Busted, 9 Arrested
Cybercrime Ring Dismantled in India
A massive cybercrime ring operating across multiple states in India has been dismantled, resulting in the arrest of nine individuals. The investigation, which is ongoing, has uncovered a complex web of financial transactions worth approximately ₹1,500 crore, involving cybercrime, online gaming, and tax-related financial flows.
Modus Operandi
According to investigators, the gang utilized a network of approximately 15 private bank accounts, specifically designed as “mule accounts,” to carry out their fraudulent activities. These accounts were exploited to move funds through various layers of financial transactions, including traditional courier-based money transfer channels. The use of mule accounts and Angadia courier networks allowed the gang to launder money and avoid detection.
One of the arrested individuals, Adiluddin Mohammed, a resident of Telangana, was found to have deposited fraudulent funds into mule accounts and later arranged for their return through the Angadia courier system.
Arrests and Investigation
Two other suspects, Mihir Rangani and Hiren Limbasiya from Rajkot, were also arrested for their alleged involvement in providing bank accounts, withdrawing cash, and transferring illicit funds.
The investigation has revealed that the gang chose to use accounts linked to the Agricultural Produce Market Committee (APMC) due to the relatively lax banking compliance requirements for such accounts. This allowed them to exploit a regulatory gap and avoid tax and audit scrutiny. The probe has detected suspicious transactions worth nearly ₹1,500 crore, with a total of 180 complaints related to the network.
Impact and Warning
The cybercrime ring is believed to have been operating for an extended period, with technical teams currently analyzing bank transaction records, server logs, and digital data to uncover the entire network. Authorities have indicated that further arrests and property seizures are possible as the investigation progresses.
Cybersecurity experts have warned that organized fraud networks like this pose a significant challenge to digital banking systems and government financial infrastructure. The use of sophisticated tactics, such as the exploitation of regulatory gaps and the use of mule accounts, highlights the need for increased vigilance and cooperation between law enforcement agencies and financial institutions to combat cybercrime.
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