Gorakhpur: Senior Correspondent. A major cyber fraud racket involving mule bank accounts opened in the name of unsuspecting individuals on the pretext of government scheme benefits has been busted by the Tiwaripur police. Three accused have been arrested in connection with the case. Investigation has revealed that nearly ₹3 crore worth of fraudulent transactions were routed through a single bank account, with a significant portion traced to Delhi and Bengaluru.
Account opened in name of victim
The arrested accused have been identified as Samsul Haq alias Shabbu, a resident of Jafra Bazar; Sarik Anwar of Daudchak; and Sarim of Piprapur, all under Tiwaripur police station limits. Police have recovered three mobile phones and three SIM cards from their possession. Preliminary findings suggest that the accused were involved in opening multiple bank accounts in the names of different individuals for similar fraudulent activities.
The case came to light after a complaint was filed by Asad, a resident of Jafra Bazar, who alleged that he was misled into opening a bank account with the promise of receiving benefits under a government welfare scheme. According to the complaint, the accused had approached him in early 2025 and claimed that the central government was offering ₹2,000 per month to individuals who opened new bank accounts under a “poor welfare scheme.”
FCRF Returns With CDPO, Its Premier Data Protection Certification for Privacy Professionals
Trusting their claims, Asad accompanied them to a bank, where an account was opened in his name at Indian Overseas Bank. However, after the account was created, the accused allegedly took possession of his ATM card, passbook and cheque book. Initially, they paid him ₹2,000 for a few months to maintain credibility, but later stopped payments and began avoiding him.
Transactions worth nearly ₹3 crore traced
The situation escalated when Asad received a notification from the bank regarding suspicious transactions in his account. Upon visiting the bank, he was shocked to discover that transactions amounting to nearly ₹3 crore had been carried out through his account. When he confronted the accused, he was allegedly threatened, prompting him to approach the police.
Following the complaint, police launched an investigation and uncovered that the accused were part of a larger cyber fraud network. They allegedly opened mule accounts in the names of unsuspecting individuals and handed over control of these accounts to cyber criminals. In return, they received small commissions for each transaction routed through the accounts.
Police widen probe into larger network
Investigators have found that a significant portion of the ₹3 crore transactions originated from Delhi and Bengaluru, raising suspicions that the funds may be linked to online gaming frauds, fake investment schemes, and other digital scams. A detailed forensic analysis of the transactions is currently underway to trace the complete money trail and identify other beneficiaries.
Cyber crime experts have expressed serious concern over the growing misuse of mule accounts in financial frauds. Renowned cyber crime expert and former IPS officer Prof. Triveni Singh stated that “mule accounts have become the backbone of cyber fraud operations. Fraudsters exploit economically vulnerable individuals by offering small incentives and then use their bank accounts to move illegal funds, allowing the real masterminds to remain hidden. Strengthening awareness and strict KYC enforcement at the banking level is critical to curb such crimes.”
Police officials said that interrogation of the arrested accused is ongoing and efforts are being made to identify other members of the network. More arrests are likely as the investigation progresses. Given the scale of the fraud, cyber cell teams have also been roped in to assist in the probe.
