Hyderabad | The Cyberabad Cyber Crime Police have arrested seven individuals for allegedly facilitating the movement of funds generated through online trading fraud and other cybercrime activities by operating and supplying mule bank accounts. Investigators said the accused played a key role in collecting, transporting and routing illicit proceeds through multiple bank accounts and cash channels, helping cybercriminals conceal the origin of the money.
According to investigators, such networks have become a critical component of modern cybercrime operations, enabling fraudsters to move stolen funds through seemingly legitimate financial transactions before they can be traced by law enforcement agencies.
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The arrested accused have been identified as Raparthi Goutham (28), Senapathi Pentaiah (56), Murapakala Kumar (30), Vijjypu Satyanarayana (44), Bodala Sai Kumar (28), Mantri Sai Kumar (24), and Utla Satyanarayana (27). Some of the accused are residents of Visakhapatnam in Andhra Pradesh, while others are linked to Odisha and Hyderabad.
Preliminary investigations revealed that members of the network were responsible for collecting cash generated from cyber fraud operations and delivering it to other members of the syndicate. Police alleged that Bodala Sai Kumar collected fraud proceeds in cash and handed them over to Raparthi Goutham. Acting on instructions from the network’s key operators, Goutham allegedly transported and delivered the money to other members involved in the operation.
Investigators believe the cash movement system was designed to prevent authorities from tracing the proceeds back to the original cybercrime and to obscure the identity of the ultimate beneficiaries. Such methods are commonly used by organized cybercrime groups to launder and redistribute illegally obtained funds.
The investigation further revealed that some of the accused were not limited to transporting cash but were also involved in arranging and operating bank accounts used to route cybercrime proceeds. Police said these accounts functioned as “mule accounts,” allowing fraudsters to move money through multiple layers before withdrawing or transferring it elsewhere.
Mule accounts have emerged as a major challenge for law enforcement agencies because they create additional barriers in identifying the masterminds behind cyber fraud schemes. Cybercriminals often recruit individuals willing to provide access to their bank accounts in exchange for commissions or financial incentives.
During follow-up operations, police teams conducted raids in Raidurgam and Manikonda and arrested Utla Satyanarayana, who is accused of operating and supplying bank accounts used to channel funds linked to cyber fraud. Investigators are now examining the full extent of the network and whether it has links to cybercrime syndicates operating in other states or abroad.
Renowned cybercrime expert and former IPS officer Prof. Triveni Singh said mule account networks play a crucial role in most online investment and trading fraud cases. According to him, cybercriminals rarely receive stolen funds directly into their own accounts. Instead, they rely on bank accounts belonging to students, unemployed youth or individuals seeking quick financial gains, making it more difficult for investigators to identify the real masterminds behind the fraud.
He cautioned that sharing bank accounts, ATM cards, SIM cards or KYC documents with others can expose individuals to serious criminal liability, even if they are not directly involved in the fraud itself.
Experts note that online trading and investment scams have increased significantly in recent years, with fraudsters using social media platforms, messaging applications and fake investment portals to lure victims with promises of high returns. Once funds are received, they are rapidly transferred through multiple accounts and intermediaries to conceal the money trail.
Police have urged citizens not to share bank accounts, ATM cards, internet banking credentials, SIM cards or KYC documents with anyone for monetary gain. Authorities warned that individuals whose accounts or identities are used in cybercrime transactions may face legal action, regardless of whether they directly participated in the fraud. Further investigation into the case is ongoing, and efforts are underway to identify additional members of the network.
