Cyber Crime Wing uncovers financial routing chain linked to foreign cyber syndicates; 30+ bank accounts, multiple forged documents traced in investigation.
Chennai: The Tamil Nadu Cyber Crime Wing has arrested two individuals for allegedly operating a sophisticated financial fraud network that channelled more than ₹100 crore through shell companies and layered bank transactions. The operation, officials say, was designed to provide “financial routing services” to international cybercrime syndicates operating from Southeast Asia and the Middle East.
The principal accused, Srinath Reddy (49), is identified as the mastermind behind the network. Investigators revealed that Reddy created five shell companies across Chennai, each registered with falsified details and no real commercial activity. These entities served as front organisations to receive and redistribute funds collected through cyber fraud schemes targeting victims across India.
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According to officials, Reddy maintained over 30 bank accounts in the names of these companies. These accounts were used to rapidly circulate funds across multiple layers, masking the transaction trail before the money was eventually transferred to offshore-controlled accounts or cryptocurrency platforms.
The second accused, Anitha (40), is said to have worked with Reddy for nearly 15 years. She allegedly supervised operational tasks, including documentation, bank KYC procedures, coordination with fake directors, and day-to-day financial handling. Authorities believe her role was central to keeping the shell-company network functional and concealed.
Evidence Seized Across Multiple Locations
Laptops, ATM cards, SIM cards and corporate seals recovered; digital forensics expected to reveal international links
During coordinated raids, the Cyber Crime Wing seized a range of physical and digital evidence, including:
- Two laptops containing transaction logs, spreadsheets and communication records
- Four mobile phones used for encrypted calls and messaging apps
- Twelve ATM cards linked to various shell accounts
- Thirty-three SIM cards, many activated using forged KYC details
- Ten cheque books belonging to different shell firms
- Six company seals used to authenticate fraudulent documents
- A car, suspected to be purchased using illicit proceeds
Investigators stated that the retrieved digital data is likely to provide substantial insight into the wider network of foreign handlers, money mules and additional shell entities that supported the operation.
Modus Operandi and Scale of Fraud
Funds from cyber fraud cases were layered, split and remitted overseas via a multi-tiered routing chain
Preliminary findings indicate that the accused acted as “end-to-end money movement facilitators” for international cybercrime groups. After receiving deposits from victims within India, the funds were broken into smaller amounts, routed through several accounts within a short time span and finally channelled to overseas entities.
This intricate layering process not only obscured the origin of the money but also allowed the fraud network to evade early detection by financial institutions.
Investigation Expands to Identify Wider Network
More arrests likely as police trace offshore connections and financial trails
Both accused have been remanded to judicial custody. The Cyber Crime Wing is now conducting a detailed forensic audit of the accounts and digital devices, and is coordinating with central agencies to map cross-border financial routes. Officials confirmed that further arrests are expected as the investigation progresses.
