15,000 Mule Accounts Linked to Cybercrime Network, ED Cracks Down on Operations
New Delhi, 29th November 2024: The Enforcement Directorate’s (ED) High Intensity Unit (HIU) is investigating a massive money laundering operation tied to organized cyber crimes such as phishing, QR code scams, part-time job frauds, and fake call centers. Thousands of cybercrime cases reported to the Indian Cyber Crime Coordination Centre (i4C) were analyzed in collaboration with the Financial Intelligence Unit (FIU-IND), uncovering a sophisticated network of financial operations.
The investigation revealed that the proceeds of cybercrimes were funneled through an elaborate scheme involving chartered accountants (CAs) and cryptocurrency traders. The network allegedly used approximately 15,000 mule bank accounts to layer illicit funds. These accounts were then linked to debit and credit cards used to top up virtual accounts on the platform Pyypl, a mobile payment and cryptocurrency service. The funds were further laundered by converting them into cryptocurrencies.
In a coordinated operation, ED officials conducted simultaneous searches across multiple locations today. At one location in Brijwasan, Delhi, suspect CA Ashok Sharma and his brother reportedly assaulted an ED officer during the search and managed to escape after causing injuries. The ED has confirmed that a First Information Report (FIR) is being filed in the case, and efforts are ongoing to apprehend the suspects.
During the raids, ED seized incriminating materials linked to the cybercrime network. The scope of the investigation suggests a well-organized syndicate that exploited digital payment systems and virtual currencies to obscure the trail of illicit funds.
