Bengaluru: In a decisive push against cyber fraud, Karnataka Police has uncovered 869 mule bank accounts linked to 8,788 cybercrime complaints, marking one of the state’s largest coordinated crackdowns on organised online fraud networks.
Officials said nearly Rs 285.05 crore in suspicious transactions flowed through these accounts, of which over Rs 13 crore has been frozen so far. The statewide operation, led by the Cyber Command, resulted in the arrest of 68 key suspects.
Simultaneous raids across multiple districts led to the seizure of 80 mobile phones, 37 passbooks, 35 ATM cards, 28 cheque books, six PAN cards, and other incriminating materials.
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Centralised command reshapes cyber investigations
Established in April 2025 and fully operational since September 2025, the Cyber Command is headquartered in Bengaluru. The structure integrates nearly 45 cybercrime police stations across the state under a unified reporting system.
Officials said earlier investigations often faced delays due to fragmented data and jurisdictional challenges. Funds would frequently move across districts and state borders before authorities could trace them.
Under the new system, complaints registered on the National Cyber Crime Reporting Portal (NCRP) are analysed through a centralised dashboard. Artificial intelligence-driven algorithms identify suspicious transaction patterns, recurring bank accounts, and rapid fund movements, enabling faster intervention.
What are mule accounts?
Cybercriminals typically avoid using bank accounts in their own names. Instead, they recruit individuals—sometimes through deception or small financial incentives—to open accounts that are then used to channel stolen funds. These are known as “mule accounts.”
Investigators found that funds from multiple states were routed into these accounts and quickly layered through successive transfers, making it difficult to trace the masterminds. The coordinated analysis of transaction patterns helped uncover the broader network.
Role of AI and ‘cyber commandos’
A key pillar of the Cyber Command strategy is a specialised team of trained “cyber commandos.” These officers are skilled in digital forensics, dark web monitoring, cryptocurrency transaction tracking, and data recovery.
Authorities say cybercrime has evolved into a highly technical domain, demanding expertise beyond conventional policing. To strengthen preventive capacity, cybersecurity audits are also being conducted in government departments and critical institutions to plug vulnerabilities before they are exploited.
From reactive to preventive policing
Officials emphasised that earlier responses were largely complaint-driven. The current focus is on early detection and immediate freezing of suspicious funds. Real-time coordination with banking institutions has enabled quicker blocking of fraudulent transactions.
The centralised, technology-backed model has allowed investigators to connect scattered complaints across districts and dismantle larger organised fraud networks.
The road ahead
While freezing over Rs 13 crore and identifying hundreds of mule accounts is being viewed as a significant achievement, officials caution that cybercriminal tactics are constantly evolving. Investment scams, “digital arrest” frauds, fake customer care calls, and loan app scams continue to emerge in new forms.
For now, the linking of 8,788 complaints to 869 mule accounts signals a strategic shift in Karnataka’s fight against cybercrime—one that relies on technology, coordination, and proactive enforcement. Authorities believe this centralised model could serve as a template for other states grappling with the growing threat of digital fraud.
About the author — Suvedita Nath is a science student with a growing interest in cybercrime and digital safety. She writes on online activity, cyber threats, and technology-driven risks. Her work focuses on clarity, accuracy, and public awareness.
