Hyderabad: The Cyberabad Cyber Crimes Wing has exposed a network allegedly involved in operating mule bank accounts used for cyber fraud transactions. Four people, including two bank officials, have been arrested in connection with the case. The accused have been identified as Jawwad Qadri Rifai, Mohammed Naushad, Pamula Pranavaraj and Shankar Rathi. Investigators say the bank accounts were deliberately opened and operated for suspicious activities.
Accused Lured by Easy Money Commissions
According to police, the accused were driven by the lure of easy money and worked in an organised manner. It is alleged that Jawwad Qadri Rifai and Mohammed Naushad, along with associates, conspired to open bank accounts using forged documents. For this purpose, a shutter was reportedly rented in the Pahadishareef area and a fake rental agreement was prepared in the name of “Star Agro Industries”. The current account was subsequently opened using these fabricated documents.
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Bank Officials Enable Fraud Account Operations
Investigation also revealed that two employees of Jubilee Hills Mercantile Co-operative Urban Bank Ltd. were allegedly involved in the process. It is claimed that with the help of the sales manager and branch manager, a joint current account was opened and facilities such as ATM card, cheque book, passbook, SIM card and internet banking access were handed over to suspected fraud operators.
Records show that approximately ₹6,67,565 was credited into the account in October 2025 as part of transactions linked to online fraud. Police said a portion of the profit generated from account operations was given to the accused as commission, while the help of bank officials made account management easier.
Tip-Off Leads to Arrests and Interrogations
Following a tip-off, police detained all four accused. During interrogation, they reportedly disclosed details about their respective roles. Investigators are now trying to determine whether more suspicious accounts were opened in the same branch. Preliminary suspicion suggests that more than 30 mule accounts may have been operated from a single branch.
Broader Probe into Mule Network and KYC Lapses
Cybercrime experts said such networks are used to quickly route and layer money obtained through online frauds. Fake companies are created to conceal banking identity. Once the fraudulent money is credited, it is transferred to multiple accounts and withdrawn.
Police said the involvement of other associates is also under investigation. Efforts have been initiated to identify victim-related transactions and freeze proceeds of crime. Banking records, call detail records and digital evidence are being examined.
An official from the cybercrime wing said strict compliance with KYC norms is essential. If bank employees are found colluding in opening mule accounts, it will be treated as a serious offence and legal action will be taken against them.
At present, police are working to map the entire network. Further arrests and assessment of financial losses are expected after the completion of the investigation. Officials said action will continue based on the findings.
