Varanasi cyber cell has uncovered a major fraud network in which stolen credit card funds were allegedly converted into gold and other high-value purchases to conceal the money trail. The findings emerged after investigators examined nearly 2,500 suspicious bank accounts and froze approximately ₹10.47 crore across multiple accounts before the funds could be withdrawn or dispersed.
According to investigators, cybercriminals allegedly obtained victims’ credit card details, OTPs and account credentials through deceptive methods. Once access was gained, unauthorised transactions were carried out, and the money was rapidly moved through several channels to prevent detection and recovery.
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Stolen Funds Converted Into Gold
Preliminary findings suggest that a significant portion of the stolen funds was used to purchase gold and expensive commodities through online platforms and digital payment systems. Investigators believe the purchases were made to obscure the financial trail and make it difficult to identify the final beneficiaries.
Authorities are examining where the transactions took place and which cities were involved. They are also assessing whether the money moved through e-commerce platforms, payment gateways, digital wallets or other financial instruments.
Investigators are further looking into whether portions of the funds were invested elsewhere or routed through shell entities and intermediary accounts. Banking records, IP addresses, device details and digital transaction trails are being analysed as part of the ongoing probe.
Mule Accounts, VoIP Calls Under Probe
A key focus of the investigation is the use of mule accounts, which are often used in cybercrime operations to receive and transfer illegal funds. Officials said fraud proceeds were quickly transferred into such accounts and then routed through additional layers of transactions.
Over the past 18 months, the cyber cell has facilitated the closure of 214 suspicious mule accounts linked to possible cybercrime activity. Around 5,200 mobile numbers suspected of being connected to fraud operations have also been blocked.
Investigators also found evidence of 42 Voice over Internet Protocol calls during the past six months. Authorities are examining whether these calls were linked to the fraud operations currently under investigation, as such methods are often used to disguise identity and location.
₹10.47 Crore Frozen, Victims Refunded
One of the cyber cell’s major interventions has been the freezing of about ₹10.47 crore across various bank accounts. Officials said timely action prevented substantial financial losses and disrupted the movement of funds within suspected fraud networks.
During the past six months, authorities claim to have prevented cyber frauds worth nearly ₹6 crore. Around ₹76 lakh has already been returned to affected victims, while legal and banking procedures are underway for further recovery and refunds.
Cybercrime expert and former IPS officer Prof. Triveni Singh said fraudsters are increasingly focused not only on stealing money but also on quickly integrating it into seemingly legitimate transactions. He warned citizens not to share OTPs, passwords, card details or CVV numbers with anyone. The cyber cell has advised victims to immediately report suspected fraud through the national cybercrime helpline 1930.
