A large-scale cyber fraud involving over ₹20 crore has been unearthed in the district, where unsuspecting investors across the country were cheated in the name of online trading through a mule bank account, investigations have revealed. The scam was executed by circulating fake investment links and mobile applications through WhatsApp and Telegram, luring people with promises of high returns. Two accused have been arrested, while the account holder and other members of the syndicate are currently absconding.
The racket came to light after suspicious financial activity was detected in a current account at an Indian Overseas Bank branch in Bantikheda. Large sums were credited into the account within a short span and swiftly transferred onward, prompting closer scrutiny and a subsequent police probe.
During the investigation, it emerged that an amount of ₹1,84,91,948 had been deposited into the account and routed further through multiple transactions. The pattern of deposits and withdrawals raised strong suspicion, leading authorities to identify the account as a mule account used exclusively for fraudulent operations.
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₹1.78 Crore Withdrawn in a Single Day
Investigators found that on January 19, a sum of ₹1,78,63,715 was withdrawn from the account in just one day through various channels. Following this, swift action was taken to freeze the account, and the remaining ₹6,28,233 was secured and placed on hold.
A review of transaction records revealed that the same account had been linked to 31 cybercrime complaints registered from different parts of the country. Based on these complaints, the total amount cheated through the network has been estimated at ₹20,12,72,359.
Investors Trapped Through Social Media
According to the investigation, the accused used WhatsApp and Telegram channels to circulate trading and investment offers. Victims were persuaded to click on links that led them to download a fraudulent mobile application, designed to resemble a legitimate trading platform.
Once registered, users were shown fictitious profits on the app and encouraged to invest additional amounts. In reality, the money was directly transferred into the mule account, from where it was rapidly withdrawn or diverted to other accounts to conceal the trail.
Mule Account Opened for Commission
Questioning revealed that the mule account had been opened in the name of Nitin Kumar, a resident of Bantikheda. He was allegedly lured with the promise of commission and convinced to open a current account meant for high-value transactions.
Investigators said Nitin handed over crucial banking details — including passbook photographs, user IDs, passwords and the linked SIM card — to other members of the gang, effectively giving them full control of the account.
Further inquiry revealed that Nitin came into contact with Dharmendra Kumar in Meerut, who allegedly assured him of substantial commissions from large transactions. The account was subsequently operated in coordination with Rahul Goyal, Satyapal and Ashwit, forming a well-organised network.
Two Arrested, Others Absconding
Police teams arrested Rahul Goyal, a resident of Kashiram Colony in Moradabad, and Dharmendra Kumar, a resident of Rasulpur in Hapur, from the Bantikheda cut on Muzaffarnagar Road. Searches conducted during the arrests led to the recovery of SIM cards, Aadhaar cards, PAN cards, driving licences, ATM and debit cards of multiple banks, identity documents, cash and a car.
Officials said the arrests were made based on transaction trails and digital evidence. Interrogation of the accused is ongoing to trace the remaining members of the gang and identify additional mule accounts used in the operation.
Nationwide Network Under Scanner
Investigators believe the syndicate was not confined to a single district, but operated across multiple states, using mule accounts to quickly move funds and evade detection.
Authorities have urged the public to remain cautious of investment offers received through social media and messaging platforms, advising people to verify the authenticity of any trading app or link before transferring money.
The case once again underscores how mule accounts and fake investment platforms are increasingly being used as key tools in organised cybercrime, posing a serious threat to financial security and digital trust.
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.
