Cybercrime
Bengaluru Employee Booked for Allegedly Routing Cyber Fraud Funds Through Bank Account
Bengaluru cybercrime police have registered a case against a private company employee for allegedly allowing his bank account and digital banking credentials to be used in a large-scale cyber fraud money laundering network. Authorities say the account was used to route funds collected from victims of online scams across multiple Indian states.
The case has once again highlighted the growing misuse of so-called “mule accounts” in cybercrime operations, where legitimate bank accounts are allegedly exploited to move and conceal stolen money.
Suspicious Transactions Linked to Multiple Cyber Fraud Cases
According to Whitefield Cyber Crime Police, the investigation began after suspicious financial activity was detected in a private bank account. The account reportedly received funds linked to several cyber fraud complaints registered across India.
These include cases reported from:
- Bengaluru (multiple cyber crime police stations)
- Kerala districts including Palakkad and Kozhikode Rural
- Maharashtra (Kolhapur and Pune)
- Tamil Nadu (Ramanathapuram)
- Delhi and other regions
Investigators noted that the repeated appearance of the same account across unrelated cases suggested its systematic use in routing illicit funds.
Account Allegedly Used as a Money Mule
Police identified the account holder as Murali G. Reddygopal, a 37-year-old Bengaluru resident employed in a private firm.
Authorities suspect that the accused knowingly provided access to his banking tools—including ATM card, mobile banking, and internet banking credentials—to cybercriminals. The account was then allegedly used to:
- Receive funds from fraud victims
- Transfer money to multiple destination accounts
- Withdraw cash through ATMs
Officials believe the structure of transactions indicates intentional involvement rather than accidental misuse.
Banking Tools Used to Move Illicit Funds
Investigators say fraud proceeds were rapidly cycled through the account before being dispersed to other accounts or withdrawn in cash. The account has already been frozen and marked under lien due to its suspected role in cybercrime activities.
Police also noted that control over full banking access—including passwords and authentication tools—suggests the account functioned as part of a coordinated financial network supporting online fraud operations.
Legal Action Under IT Act and Bharatiya Nyaya Sanhita
Based on the preliminary findings, police have registered a case under provisions of:
- Sections 66(C) and 66(D) of the Information Technology Act, 2000
- Sections 319(2) and 318(4) of the Bharatiya Nyaya Sanhita (BNS), 2023
These provisions relate to identity theft, cheating by impersonation, and criminal conspiracy in financial fraud cases.
Investigators are now working to identify additional individuals involved in the money transfer chain and determine whether the accused was part of a larger organized network.
Rising Threat of Mule Account Networks
Cybercrime officials have repeatedly warned about the increasing use of mule accounts in online fraud cases. These accounts are often used to:
- Break the financial trail of stolen money
- Transfer funds across multiple jurisdictions
- Evade detection by law enforcement agencies
- Facilitate large-scale digital fraud operations
Authorities say such networks have become a critical backbone of cyber fraud ecosystems in India, enabling scams ranging from investment fraud to phishing and impersonation schemes.
Conclusion
The Bengaluru case underscores how legitimate banking channels are increasingly being exploited to facilitate cybercrime. With investigations ongoing, police are focusing on uncovering the broader network behind the fraudulent transactions and tracing the final beneficiaries of the diverted funds.
Officials have urged citizens to safeguard banking credentials and avoid sharing account access with unknown individuals, warning that even passive involvement in mule account operations can lead to serious legal consequences.
AICybercrime
Man Arrested at Hyderabad Airport in ₹1.19 Crore Digital Arrest Fraud
Kerala Police have arrested a man at Hyderabad’s Rajiv Gandhi International Airport in connection with an alleged digital arrest scam in which an 80-year-old doctor from Kasaragod was reportedly defrauded of ₹1.19 crore.
The accused has been identified as Shamsad Choorakuth, a resident of Malattur in Malappuram. Police had issued a lookout circular after discovering that he had travelled abroad for employment.
Investigators allege that Choorakuth and his associates impersonated Mumbai Crime Branch officials and used threats of criminal action to pressure the elderly doctor into transferring large amounts of money.
Doctor Targeted Through Fake Mumbai Crime Branch Calls
According to investigators, the fraud took place between November 24 and December 17, 2025.
The victim, who lives in Nileswaram in Kasaragod, allegedly received repeated phone calls and WhatsApp video calls from people claiming to be Mumbai Crime Branch officers.
The callers reportedly told the doctor that his name had surfaced in a money-laundering investigation. They then falsely informed him that he was under “digital arrest” and instructed him to follow their directions.
The scammers allegedly maintained pressure on the victim by threatening him with legal consequences and claiming that transferring money to designated bank accounts would help establish his innocence.
Under the pressure, the doctor reportedly transferred a total of ₹1,19,35,000 from multiple bank accounts to accounts allegedly controlled by the fraudsters.
Suspect Intercepted at Hyderabad Airport
After receiving the doctor’s complaint, Kasaragod Cyber Police began investigating the financial transactions and communication records connected to the case.
During the investigation, police learned that Choorakuth had travelled outside India for work. Authorities subsequently issued a lookout circular covering immigration checkpoints.
On September 17, immigration officials at Rajiv Gandhi International Airport in Hyderabad reportedly intercepted Choorakuth after he arrived in the country and informed Kerala Police.
A cyber police team from Kasaragod travelled to Hyderabad and took custody of the suspect. Following his formal arrest, he was produced before the Kasaragod Chief Judicial Magistrate Court, which remanded him to 14 days of judicial custody.
Police Trace Money Trail and Other Suspects
Investigators are now examining the movement of the ₹1.19 crore allegedly transferred by the victim.
Police are scrutinising the bank accounts that received the funds and analysing communication records believed to connect the accused with other members of the suspected cybercrime network.
The investigation is aimed at determining Choorakuth’s specific role and identifying additional individuals who may have participated in the operation.
How Digital Arrest Scams Work
Digital arrest frauds typically rely on impersonation, intimidation and prolonged online interactions.
Scammers may pose as police officers, investigators, judges or other government officials and falsely accuse victims of involvement in serious crimes such as money laundering or financial fraud.
Victims are often told that they are under investigation or “digital arrest” and are instructed to remain connected through phone or video calls. The criminals then use threats of arrest, prosecution or account freezing to pressure victims into transferring money.
The Kasaragod case follows this pattern, with the elderly doctor allegedly being kept under sustained psychological pressure before transferring his savings.
Investigation Continues
The arrest at Hyderabad airport has provided investigators with an opportunity to examine the suspected financial and communication network behind the alleged fraud.
Authorities are expected to continue analysing bank transactions, digital communications and other evidence to identify the wider network and determine whether additional victims or financial accounts are connected to the case.
AICybercrime
Man Arrested at Hyderabad Airport in ₹1.19 Crore Digital Arrest Fraud
Kerala Police have arrested a man at Hyderabad’s Rajiv Gandhi International Airport over an alleged digital arrest scam in which an 80-year-old doctor from Kasaragod was reportedly cheated of ₹1.19 crore.
The accused, identified as Shamsad Choorakuth, a resident of Malattur in Malappuram, was intercepted by immigration officials after police issued a lookout circular against him. Investigators allege that he was part of a group that impersonated Mumbai Crime Branch officers to intimidate the elderly victim and extract money from him.
Fraudsters Claimed Doctor Was Linked to Money Laundering Case
The alleged fraud occurred between November 24 and December 17, 2025.
The doctor, who lives in Nileswaram, Kasaragod, reportedly received repeated phone calls and WhatsApp video calls from individuals claiming to represent the Mumbai Crime Branch.
The callers allegedly told him that his name had been connected to a money-laundering investigation. They then claimed that he had been placed under “digital arrest” and warned him of serious legal consequences.
Using these threats, the fraudsters allegedly instructed the victim to transfer money into several bank accounts as part of a supposed process to clear his name.
The doctor ultimately transferred ₹1,19,35,000 from multiple bank accounts to accounts allegedly controlled by the suspects.
Lookout Circular Leads to Airport Interception
After the victim reported the incident, Kasaragod Cyber Police began investigating the financial transactions and communications associated with the alleged fraud.
During the investigation, police reportedly discovered that Choorakuth had travelled overseas for employment. Authorities subsequently issued a lookout circular to immigration checkpoints.
On September 17, immigration officials at Hyderabad airport reportedly intercepted him after his arrival and notified Kerala Police.
A cybercrime team from Kasaragod then travelled to Hyderabad and took custody of the suspect. Following his arrest, Choorakuth was produced before the Kasaragod Chief Judicial Magistrate Court, which remanded him to 14 days of judicial custody.
Police Investigate Financial Trail
Investigators are now examining the movement of the ₹1.19 crore allegedly transferred by the victim.
Police are checking the bank accounts used in the transactions and analysing communication records to determine Choorakuth’s alleged links with other members of the suspected fraud network.
The investigation is also focused on establishing the accused’s precise role and identifying other people who may have been involved in the operation.
What Is a Digital Arrest Scam?
Digital arrest scams are a form of cyber fraud in which criminals impersonate police officers, government officials, investigators or judicial authorities.
Fraudsters typically tell victims that they are involved in a criminal investigation and use threats of arrest, prosecution or account restrictions to create fear.
Victims may be kept on prolonged phone or video calls while being instructed to transfer money to accounts controlled by the scammers.
In this case, investigators allege that the same tactic was used to convince the elderly doctor that he needed to transfer money to avoid criminal proceedings.
Investigation Into Wider Network Continues
The arrest at Hyderabad airport is now part of a wider investigation into the alleged cyber fraud network.
Police are expected to follow the financial trail and examine digital communications to identify additional suspects and determine whether other people were targeted using similar methods.
The case also highlights the growing use of impersonation and intimidation in online financial scams targeting elderly victims.
AICybercrime
ED Raids 19 Locations in ₹14.95 Crore Online Investment and Work-From-Home Fraud Probe
New Delhi: The Directorate of Enforcement (ED) has carried out searches at 19 locations across Tamil Nadu, Kerala and Srinagar as part of a money laundering investigation linked to alleged online investment fraud and fake work-from-home schemes.
The searches were conducted on July 10 and 11 under the provisions of the Prevention of Money Laundering Act (PMLA). According to the agency, the operation covered 16 locations in Tamil Nadu, two in Kerala and one in Srinagar. The case originated from two cybercrime complaints registered by the Tamil Nadu and Telangana Police.
Victims Allegedly Duped Through Fake Investment Platforms
According to ED officials, the accused allegedly attracted victims through fraudulent online investment platforms and work-from-home opportunities by promising unusually high returns and attractive earning opportunities.
Investigators claim that victims transferred nearly ₹14.95 crore into bank accounts allegedly linked to the accused. The agency is examining the flow of these funds and the methods allegedly used to conceal their origin.
Funds Allegedly Routed Through Mule Accounts and Crypto Channels
The ED has alleged that the suspected proceeds of crime were moved through multiple bank accounts, shell entities and cryptocurrency channels to disguise the financial trail.
Investigators have identified Roshan Fiaz as one of the individuals allegedly involved in the suspected laundering network. The allegations against him and others are part of an ongoing investigation and remain subject to judicial review.
The agency claims that several bank accounts were opened shortly before receiving fraudulent funds and later closed after transactions were completed. Officials are examining whether these accounts were allegedly used as part of a wider money laundering arrangement.
Digital Evidence and Financial Records Seized
During the searches, ED teams recovered documents, electronic devices, laptops, mobile phones, banking records, company-related documents and information connected with suspected shell companies.
Investigators also collected details related to cryptocurrency wallets and virtual digital assets to trace the movement of funds allegedly generated through cyber fraud.
According to the ED, assets worth around ₹3.35 crore in cryptocurrency and cash amounting to ₹14.50 lakh were seized during the operation. The agency also froze bank accounts containing more than ₹40 lakh.
Probe Focuses on Complete Money Trail
Officials said forensic analysis of digital devices, banking transactions and cryptocurrency records is underway to identify additional beneficiaries and determine the full extent of the alleged financial network.
Cybercrime experts have highlighted that online investment scams and fake employment frauds are increasingly using sophisticated laundering methods involving mule accounts, shell companies and digital currencies.
Former IPS officer and cybercrime expert Prof. Triveni Singh said that effective investigation of such cases requires advanced digital forensics, blockchain analysis, financial intelligence and coordination between multiple enforcement agencies.
He added that tracking the movement of illegal funds quickly is crucial for improving recovery efforts and strengthening legal action against organised cyber fraud networks.
The ED has stated that the investigation is continuing and further action will be taken based on evidence collected during the probe. The accused will be subject to due legal process, and final determination of guilt will be made by the competent court.
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