In a new twist to India’s rising digital fraud epidemic, three Secunderabad students, lured by easy money via WhatsApp, were arrested for aiding a “digital arrest” scam that conned a government employee out of Rs 6.5 lakh. Police say the trio helped facilitate over 23 similar cybercrimes across India by supplying mule bank accounts.
A Fear-Driven Scam: Fake Police Call, Real Financial Loss
The case came to light when a 57-year-old government employee from Dhoolpet received a call in January from someone posing as a Deputy Commissioner of Police (DCP). The caller claimed the victim’s Aadhaar card had been used to open a Bank of Baroda account that was allegedly involved in a Rs 2 crore money laundering case.
To make the ruse more convincing, the fraudster sent a forged arrest warrant and court documents via messaging platforms. The victim was told he needed to verify his identity and finances to avoid being taken into custody. In a state of panic and fear, the man followed instructions and transferred Rs 6.5 lakh to the bank accounts provided by the fraudster.
By the time the victim realized he had been duped, the money had vanished—and so had the fraudsters. He promptly approached cybercrime police, who launched a probe into the case.
From Gamers to Middlemen: How Students Fueled Cybercrime
During the investigation, police arrested three students from Secunderabad identified as K. Hemanth Reddy (21), M. Yeshwanth Reddy (21), and M. Tharun (22). The trio, hailing from Hyderabad and Nalgonda, were found to be addicted to online gaming and struggling with financial losses due to their gaming habits.
According to officials, they were approached via WhatsApp by unidentified fraudsters promising commission in exchange for bank account details. With little hesitation, the students agreed, eventually supplying over 40 bank accounts—most of them fake or borrowed—which were then used to receive money from scam victims across the country.
The trio admitted to their role as mule account suppliers, effectively becoming digital middlemen in India’s growing cyber fraud ecosystem. Police said the students had no direct involvement in threatening or contacting victims, but their actions enabled large-scale financial crimes.
Part of a Larger Web: 23 Cases and Counting
Further investigations revealed that the three students were linked to at least 23 cybercrime cases reported across India. These cases all bore similar hallmarks: impersonation of law enforcement officers, fake legal documents, and psychological coercion to extract funds under the guise of avoiding arrest.
Cybercrime officials believe the trio was part of a larger fraud network that recruits vulnerable youth, particularly students with poor financial backgrounds or gaming addiction, to supply logistics like bank accounts, SIM cards, and money mules.
One officer noted :
“Digital arrest scams are a new frontier in online fraud, they weaponize fear, authority, and misinformation, and they rely heavily on young intermediaries who don’t fully grasp the legal consequences of what they’re enabling.”
The case has prompted renewed calls for cyber safety education, especially targeted at youth, and stricter regulation on bank account issuance and KYC loopholes.