Chandigarh | In a major crackdown on cybercrime, authorities in Punjab have uncovered an organised fraud network operating through fake bank accounts, exposing a wider nexus with possible international links. Three accused have been arrested in connection with the case, where fraudulent accounts were used to transfer illicit funds across domestic and foreign channels.
Preliminary investigation has revealed that the network had been active for nearly two years, systematically setting up shell companies to open bank accounts using forged documents and fake KYC credentials. These accounts were then used to route money obtained through cyber fraud, effectively masking the origin of the funds and making detection more difficult.
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According to investigators, the accused were working under instructions from foreign handlers. The group allegedly moved funds through multiple layers of accounts to evade tracking, earning hefty commissions in return. This method, commonly referred to as a “money mule” operation, plays a critical role in laundering proceeds of cybercrime by giving them a legitimate appearance.
During the operation, officials seized key evidence from the accused. Around ₹20 lakh deposited in various bank accounts has been frozen. In addition, digital assets equivalent to approximately 5,100 units in cryptocurrency were recovered, indicating the network’s use of advanced financial tools and its reach beyond conventional banking systems.
Authorities also recovered 23 ATM cards, two laptops, seven mobile phones, five SIM cards, forged KYC documents, 14 cheque books, and multiple company seals. These items were allegedly used to create fake identities and manipulate banking processes to facilitate fraudulent transactions.
Investigators further found that the accused often opened accounts in the names of unsuspecting individuals, some of whom were unaware that their identities were being misused. These accounts were then used for high-volume transactions, enabling the seamless transfer of funds generated through various cyber fraud schemes.
A case has been registered at the state cybercrime police station, and further investigation is underway to trace other members of the network and establish the full extent of its international connections. Officials believe the racket could be part of a larger, multi-layered global operation involving several intermediaries.
Cybersecurity experts note that fraud tactics have evolved rapidly in recent years. Criminals are no longer limited to phishing calls or messages but are increasingly exploiting banking infrastructure and digital currencies to complicate tracking and recovery of stolen funds.
Renowned cybercrime expert and former IPS officer Prof. Triveni Singh said, “Cyber criminals are now combining social engineering with structured money mule networks. Funds are routed through multiple layers of fake accounts, making it extremely challenging for agencies to trace the original source.”
Following the bust, authorities have urged the public to remain vigilant. Citizens have been advised not to share their bank account details, KYC documents, or SIM cards with unknown individuals. Any suspicious transaction or unsolicited financial offer should be reported immediately to the concerned authorities.
The case once again underlines that cybercrime is no longer confined to local boundaries but has expanded into a global challenge. With increasing use of digital tools and cross-border networks, enforcement agencies face growing pressure to enhance their technical capabilities and coordination mechanisms.
For now, the crackdown is being seen as a significant step in dismantling organised cyber fraud networks, while also highlighting the urgent need for stronger safeguards in the digital financial ecosystem.
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.
