The Telangana Cyber Security Bureau has uncovered a large financial fraud network during a special statewide operation, identifying 1,888 suspicious mule bank accounts operating across 137 bank branches. Preliminary investigation suggests that these accounts may be linked to thousands of cyber fraud cases registered across the country.
Cyber security agencies stated that these mule accounts were allegedly used to transfer money obtained through fraudulent activities and circulate it through multiple channels to disguise its illegal origin. Officials reported that these accounts are connected to 9,431 cybercrime cases registered across India, including 782 cases reported in Telangana alone.
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Bank Branch Raids and KYC Scrutiny
As part of the enforcement drive, cyber security teams inspected 137 bank branches and collected KYC records of suspected account holders. Authorities said the detailed verification of these records is still in progress. Initial analysis has indicated a recurring pattern where multiple suspicious accounts were opened under similar operational structures in several bank branches.
Officials from the Cyber Security Bureau revealed that one particular bank account operating from the Sultan Bazar branch in Hyderabad is under detailed scrutiny. Investigators found that this single account could be associated with approximately 496 cybercrime complaints registered across multiple jurisdictions. Similarly, 298 suspicious accounts were identified across four bank branches in Suryapet district, which are believed to be linked to cases registered in different states.
Banking Collusion Under Investigation
Authorities have also indicated that the role of the banking system is under review. The director of the Cyber Security Bureau said investigators will examine whether any bank employees were involved in facilitating the opening of these mule accounts. If any collusion is established, strict legal action will be taken against those responsible.
Cybercriminals often use fake identity documents or temporary accounts to route illegally obtained money through several financial layers to avoid detection. Investigators believe mule bank accounts represent one of the weakest links in the cyber fraud ecosystem and must be dismantled to disrupt the network.
Ongoing Probe and Warnings
Officials confirmed that the special drive will continue in the coming days. Transaction patterns of suspicious accounts, KYC documentation, and overall banking activities are being analysed using technical investigation methods. At the same time, cyber agencies are also reviewing complaints from fraud victims to assess the possibility of recovering lost funds.
Cybersecurity experts have warned that with the rapid expansion of digital banking services, fraud techniques are also evolving. Citizens have been advised not to share personal or banking information through unknown calls, suspicious links, or unverified communication channels.
Investigation agencies are currently working to map the entire network and establish the links between the accounts. Officials expect further major revelations as the probe progresses in the coming days.
About the author – Ayesha Aayat is a law student and contributor covering cybercrime, online frauds, and digital safety concerns. Her writing aims to raise awareness about evolving cyber threats and legal responses.
