Lucknow: In a major crackdown on cybercrime, Gonda cyber cell police in Uttar Pradesh have busted a large interstate cyber fraud racket involved in routing and laundering crores of rupees through mule bank accounts across multiple states.
Authorities have arrested nine accused and frozen suspicious transactions worth approximately ₹14.87 crore.
Systematic Exploitation of Vulnerable Accounts
According to police officials, the organized network was active across Uttar Pradesh, Delhi, Odisha, Haryana, Bihar, Uttarakhand, Jharkhand, Rajasthan, and Himachal Pradesh. The gang allegedly operated a structured system in which bank accounts were opened in the names of unsuspecting individuals and later used to channel proceeds of online financial frauds.
Investigators revealed that the accused targeted economically weaker sections and rural residents by luring them with promises of government benefits, subsidies, or easy financial assistance. Once bank accounts were opened, the gang collected passbooks, ATM cards, and cheque books, effectively taking full control of the accounts for illegal money transfers.
High-Volume Seizures and Portal Complaints
During raids, police recovered 347 bank passbooks, 177 ATM cards, 22 identification documents, 10 mobile phones, ₹20,290 in cash, and three motorcycles. Officials said the operation was highly organized, with clearly defined roles assigned to different members to avoid detection and complicate the financial trail.
Further investigation has identified 46 bank accounts directly linked to the racket. Out of these, 17 accounts have multiple complaints registered on the National Cyber Crime Reporting Portal, totaling over 212 grievances. Authorities said this highlights the scale and systematic nature of the fraud network.
The Hybrid Cyber Ecosystem and Money Laundering
Cyber experts note that mule account networks have become a critical backbone of modern digital fraud operations. These accounts are used to rapidly move stolen money across multiple layers, making it difficult for investigators to trace the original source and ultimate beneficiaries.
Cyber crime expert and former IPS officer Professor Triveni Singh said such gangs now operate as a “hybrid cyber ecosystem.” According to him, “These networks are no longer limited to bank accounts alone. They integrate social engineering, fake identities, and digital manipulation to build an end-to-end fraud supply chain, making tracking extremely complex.”
Awareness, Intervention, and Evolving Investigations
He further emphasized that awareness and timely reporting are key to preventing large-scale losses. Any individual noticing unauthorized accounts opened in their name or suspicious banking activity should immediately report it on official cybercrime portals to enable faster intervention.
Police officials confirmed that interrogation of the arrested accused is ongoing and more individuals linked to the network are being identified. Investigators suspect that further arrests and revelations are likely as the probe expands across state boundaries.
Authorities have also launched a detailed investigation into the origin and beneficiaries of the frozen ₹14.87 crore to uncover the complete money laundering trail and dismantle the wider syndicate.
