In a major breakthrough against organised financial cybercrime, the Gujarat Police has arrested four individuals in connection with a ₹182 crore multi-state cyber fraud that allegedly operated through an elaborate network of mule bank accounts. The case is being investigated by the Cyber Crime Police Station in East Kutch, which uncovered large-scale fund movements linked to online fraud complaints from across India.
Officials say the arrested accused played a key role in creating and operating bank accounts used to receive and transfer proceeds generated through various cyber fraud schemes. The money trail spans multiple states, indicating a well-coordinated financial routing mechanism rather than isolated incidents.
Certified Cyber Crime Investigator Course Launched by Centre for Police Technology
Arrests And Charges
The four arrested have been identified as Yash Mulchand Bhatia (27), Siddharth Sunil Soni (34), Sahil Dinesh Sharma (26), and Alpesh Suresh Luhar (40). They have been booked under provisions of the Bharatiya Nyaya Sanhita and the Information Technology Act 2000 for offences related to cyber fraud, criminal conspiracy and cheating.
Police have also named four additional suspects who are currently absconding. Efforts are underway to trace their whereabouts and examine their role in expanding the mule account network.
How The Mule Account Network Worked
According to investigators, the accused allegedly opened and managed at least 81 savings and current accounts across various banks. These accounts were then made available to cybercriminal syndicates to park and transfer illicit funds collected from victims of online scams.
The modus operandi involved targeting financially vulnerable individuals and persuading them to share identity documents. In several cases, investigators believe identity details were misused to register shell firms, obtain Udyam registrations and open bank accounts without full awareness of the account holders.
Once operational, these accounts were used to receive funds from cyber fraud victims across different states. The accused allegedly generated fake invoices and bills in the names of these firms to give the transactions a veneer of legitimacy. Funds were then layered and transferred to other accounts, making tracing and recovery difficult.
Multi-State Impact And National Complaints
Authorities have linked the mule accounts to at least 74 complaints registered on the National Cyber Crime Reporting Portal. Victims were reportedly located in states including West Bengal, Tamil Nadu, Delhi, Haryana and Uttar Pradesh, highlighting the interstate spread of the fraud network.
Investigators suspect that the ₹182 crore figure represents cumulative transactions routed through the network rather than a single scam event. Several bank accounts have been frozen, and electronic devices along with financial documents have been seized for forensic analysis.
Growing Concern Over Mule Account Ecosystems
Law enforcement agencies have repeatedly flagged mule bank accounts as a critical backbone of India’s cybercrime economy. These accounts act as temporary transit points, allowing fraudsters to rapidly fragment and move money before detection systems can intervene.
The Gujarat crackdown underscores the increasing sophistication of cyber fraud infrastructure, where local facilitators provide financial channels to larger criminal networks operating digitally across state boundaries.
Further arrests are expected as investigators analyse seized data and trace downstream beneficiaries of the alleged fraud proceeds. Authorities have also urged citizens to exercise caution before sharing personal documents or opening bank accounts on behalf of others, warning that even passive participation can expose individuals to serious legal consequences.
About the author – Rehan Khan is a law student and legal journalist with a keen interest in cybercrime, digital fraud, and emerging technology laws. He writes on the intersection of law, cybersecurity, and online safety, focusing on developments that impact individuals and institutions in India.
