Indian authorities have uncovered a sophisticated international cyber fraud network that operated from overseas locations while using hundreds of bank accounts in Rajasthan to launder illicit funds. Investigators say cybercriminals based in Dubai and Georgia siphoned off more than ₹160 crore (approximately $19 million) through at least 450 bank accounts opened in India with the help of a private bank employee.
The operation was dismantled following a coordinated crackdown by the Dungarpur police, the district special task team, and the cybercrime unit under an operation codenamed Cyber Hunt. Two principal suspects were arrested in neighboring Gujarat after remaining on the run for nearly a year. Police said both were attempting to flee the country.
Officials described the case as one of the most elaborate examples of “account mule” fraud detected in the region, highlighting how local banking systems are increasingly being exploited by international cybercrime syndicates.
Overseas Control, Domestic Infrastructure
According to investigators, the fraud was orchestrated remotely from Dubai and Georgia, while the physical banking infrastructure remained entirely within Rajasthan. The Indian accounts were used as transit points for funds obtained through investment scams, digital fraud schemes and other cyber-enabled crimes.
Police said the arrested suspects admitted to renting out nearly 450 bank accounts to handlers based abroad. Large sums of money were rapidly moved through these accounts, often within minutes, to evade detection and frustrate financial tracing efforts.
“The accounts functioned purely as conduits,” a senior police officer involved in the investigation said. “The money would come in and be moved out almost immediately.”
Arrest at a Wedding Ceremony
One of the accused, Kaushal Kumhar, was arrested in a wedding hall in Limdi town of Gujarat’s Dahod district after police received intelligence about his presence there. Officers, disguised as wedding guests and dressed in traditional attire, entered the ceremony and apprehended him after confirming his identity.
During questioning, Kumhar disclosed the involvement of an associate, Ilesh Patel, also known as Nilesh Kalal, a resident of Sagwara in Rajasthan. Patel was arrested shortly thereafter. Both men are now in police custody.
Accounts Opened Under False Pretenses
Investigators revealed that Kumhar was employed with a private bank and exploited his position to open accounts in bulk. Temporary kiosks and canopies were set up near colleges, public areas and roadside locations, where individuals were persuaded to open bank accounts in exchange for promises of government benefits or financial assistance.
Most account holders were poor laborers, unemployed youth and students. Their identity documents were collected under false pretenses, but the ATM cards and checkbooks were retained by the accused.
“The account holders had no control over their own accounts,” police said. “All transactions were managed remotely.”
₹160 Crore Routed Through Indian Banks
Police said the accounts were used by three overseas handlers — identified as Ghanshyam, Varun and Upendra — who controlled the transactions from Dubai. Investigators believe another key operator was active in Georgia, coordinating fund movement across jurisdictions.
The money was transferred repeatedly through banking channels, digital wallets and intermediary platforms before being withdrawn or converted, making recovery difficult.
Expert Warning on ‘Mule Account’ Networks
Cybercrime analysts say the case reflects a broader national trend. According to Future Crime Research Foundation, India has witnessed a sharp rise in mule account networks, where legitimate-looking bank accounts are weaponized by international fraud syndicates.
“These networks thrive on financial vulnerability and institutional loopholes,” the foundation said in a recent analysis. “When bank insiders become facilitators, the scale and speed of cybercrime increase exponentially.”
The organization has repeatedly warned that student and low-income populations are increasingly targeted to create disposable financial pipelines for global cybercrime groups.
Investigation Widens
Police said the investigation remains ongoing, with scrutiny expanding to additional bank employees, account-opening agents and financial intermediaries. Several more accounts and digital wallets are under forensic examination, and further arrests are likely.
Authorities are also coordinating with national cyber agencies to trace cross-border fund flows and identify overseas masterminds.
Public Advisory
Rajasthan police have urged citizens not to share identity documents with unknown individuals or intermediaries, to verify the purpose of any bank account being opened in their name, and to report suspicious transactions immediately to cybercrime authorities.
“Awareness and caution remain the strongest defenses against cyber fraud,” officials said.
About the author – Rehan Khan is a law student and legal journalist with a keen interest in cybercrime, digital fraud, and emerging technology laws. He writes on the intersection of law, cybersecurity, and online safety, focusing on developments that impact individuals and institutions in India.
