LUCKNOW: A disturbing new form of cybercrime has been uncovered in Uttar Pradesh: fraudsters are “renting” bank accounts from low-income villagers for use in large-scale financial scams. The Uttar Pradesh Special Task Force (STF) reported that criminals, operating through Telegram and other messaging platforms, offer villagers a small commission—typically around 10 per cent of each transaction— in exchange for access to their bank accounts and linked SIM cards.
Rural victims, often unaware of the larger consequences, receive modest payments for granting access. Fraudsters then use these accounts, complete with passbooks, debit cards, and OTP-capable SIMs, to receive illicit funds derived from cybercrime activities such as phishing, fake task scams, and investment fraud.
Wide‑Scale Money Laundering and Legal Risks
Investigations indicate that criminal syndicates are recruiting dozens of such accounts, often advertising them openly on Telegram and Facebook. These “bank account kits” are sold like everyday commodities to launder money and obscure the trail of criminal proceeds.
Police in other states have uncovered similar operations. In Bhubaneswar, cyber cells arrested two men for renting out accounts to fraudsters; the suspects claimed a 2 per cent commission on each transaction. Investigators also estimate that fraudsters created and used hundreds of such “mule accounts” across India, notably in Tier‑2 and Tier‑3 towns.
Bigger Picture: A Cybercrime Enabler
Bank Accounts as Crime Tools
Analysts warn that allowing easy rent-and-use of bank accounts threatens national financial integrity. These “drop accounts” serve as untraceable conduits in crimes ranging from phishing to identity theft. The Indian Cybercrime Coordination Centre (I4C) has classified the phenomenon as a national security concern.
Regulatory and Enforcement Response
Law enforcement agencies are urging banks to tighten KYC and OTP safeguards and are collaborating with telecom operators to block pre-activated SIM cards. They also encourage public awareness campaigns to educate vulnerable rural populations.
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Implications for Policy & Public Safety
This emerging scam underscores a growing vulnerability: financially strapped individuals become unwitting accomplices in sophisticated cyber operations. Authorities fear that without stricter enforcement, the network of rented bank accounts will continue to expand, facilitating frauds that funnel large sums offshore.
Efforts are now underway to trace syndicate leaders and shut down Telegram channels advertising these schemes. Specialist cybercrime units are also working to freeze the illicit accounts and educate local populations about the risks of “easy money.”
About the Author – Sahhil Taware is a B.Sc. LL.B. (Hons.) student at National Forensic Sciences University, Gandhinagar, with a keen interest in corporate law and tech-driven legal change.