With mule bank accounts increasingly being used in cyber fraud and money laundering, the Economic Offences Unit (EOU) of Bihar Police has stepped up surveillance on bank officials and Common Service Centre (CSC) operators across the state. Officials said the number of mule accounts has risen sharply over the past two years, making them a critical link in the cybercrime ecosystem.
According to the EOU, a recent FIR by the Central Bureau of Investigation (CBI) against a branch manager of Punjab & Sind Bank and 17 others revealed that ₹1,084 crore was routed through 13 accounts opened using fake KYC documents. While the network’s primary hub was traced to Punjab, suspected links to Bihar prompted state agencies to go on high alert.
The EOU’s additional director general said concrete steps were being taken against cybercriminal networks and urged public cooperation. Citizens have been advised not to open bank accounts in others’ names for commissions or allow third parties to operate their accounts, as such accounts are frequently used to channel fraud proceeds.
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Recently, a Canara Bank assistant manager and an Axis Bank officer in Patna were arrested for allegedly facilitating mule accounts. Investigators found that some banking personnel had even shared tips with cybercriminals on bypassing transaction monitoring systems to avoid triggering red flags.
EOU sources said cyber gangs are working in nexus with CSC operators, particularly in rural and border areas, to open large numbers of mule accounts. These accounts are used to quickly layer and transfer stolen funds across multiple beneficiaries, making detection and tracing difficult.
Superintendents of Police across districts have been directed to act on 616 identified mule accounts. Prompt intervention has led to ₹107 crore being frozen so far, while about ₹8 crore has been refunded to victims.
Officials said targeting mule accounts is crucial to dismantling the financial backbone of cyber fraud operations, as these accounts enable the withdrawal and onward movement of illicit funds. In the coming weeks, banking audits, stricter KYC verification and enhanced monitoring of digital transactions are expected to be intensified.
The EOU has warned that account holders will face legal action if their accounts are found to have been used in cybercrime, even if they claim to have allowed others to operate them unknowingly. The agency has urged the public to report suspicious banking activity immediately and remain vigilant against offers of easy money linked to account usage.
About the author – Ayesha Aayat is a law student and contributor covering cybercrime, online frauds, and digital safety concerns. Her writing aims to raise awareness about evolving cyber threats and legal responses.
