In Hyderabad, on March 10, two bank employees, software engineers, seven students, and 15 women were among the 208 accused arrested by the Telangana State Cyber Security Bureau (TGCSB) as part of a statewide operation against mule accounts that facilitate cyber fraud across India, a senior official said on Tuesday.
The "Operation Crackdown 1.0," launched on February 25, resulted in the registration of 1,549 FIRs, the identification of 626 suspects, and the arrest of 208 accused.
Among those arrested were two lecturers and a government employee working in the Electricity Department.
Shikha Goel, Director of TGCSB, stated that the accused came from diverse professional and social backgrounds, highlighting the widespread nature of cyber-enabled financial crimes.
Those arrested included two bank employees from Bank of Maharashtra and Jubilee Hills Merchant Cooperative Bank, along with software engineers, businessmen, private employees, healthcare workers, students, and daily wage laborers.
Most of those arrested were acting as mule account holders, allowing cyber fraudsters to use their bank accounts in exchange for commissions of up to 5% on each fraudulent transaction routed through their accounts.
The operation was conceptualized and led by the TGCSB, which analyzed cyber fraud data from the National Cyber Crime Reporting Portal and identified suspicious bank accounts opened in Telangana linked to complaints from different parts of the country.
During this first-ever simultaneous operation, 137 police teams consisting of 512 personnel conducted surprise checks at 137 identified bank branches across Telangana and verified 1,888 suspicious mule bank accounts linked with 9,451 cases across India, involving an estimated loss of about Rs 100 crore.
During the operation, police seized 63 mobile phones and 208 bank passbooks and cheque books that were being used to facilitate cyber fraud activities.
The age of the accused ranges from 19 to 45 years, indicating that individuals from various sections of society are being lured or recruited into such illegal activities. Investigators also found that some mule account holders opened online or virtual bank accounts using fake identities, fabricated KYC documents, and proxy mobile numbers, enabling fraudsters to operate anonymously and move money rapidly through multiple accounts.
In Warangal, a mule account holder was found to have used bank accounts belonging to his own family members for routing cyber fraud proceeds. During the course of the investigation, police further identified 52 associates and facilitators who played key roles in supporting the mule account network. Their activities included recruiting individuals to open bank accounts, arranging SIM cards, collecting ATM cards and PIN details, providing access to internet banking credentials, and coordinating cash withdrawals or fund transfers after the fraudulent amounts were credited.
Significantly, two bank employees were arrested by the TGCSB HQ Police Station and the Komaram Bheem Asifabad Police Station for their suspected role in facilitating irregular account openings and failing to follow proper KYC verification procedures. In 19 bank branches, more than 20 mule accounts were identified, highlighting the need for stricter monitoring and improved KYC verification by the banking sector, she said.