Two Men Arrested in Sundargarh District for Multi-Crore Bank Fraud Operation
In a significant crackdown on financial crime, police in Sundargarh district made two arrests on Tuesday night for an alleged bank fraud scheme involving mule accounts. The accused individuals are suspected of operating these accounts on instructions from cyber fraudsters, facilitating illegal transactions totaling over Rs 4.19 crore.
Details of the Arrest and Accused Individuals
The arrested persons have been identified as Abdul Qadir, aged 25, and Md Faiyaz Raza, aged 26. Their apprehension followed an investigation into suspicious banking activities at a private bank's Rajgangpur branch. During routine verification procedures, authorities discovered three accounts registered under the names of the two accused that exhibited highly irregular transaction patterns.
Nature of the Fraudulent Transactions
Police investigation revealed that these mule accounts received substantial funds from unknown and unverified sources. The money was then systematically withdrawn using self-cheques, effectively laundering the illicit funds. The total amount transacted through these three accounts exceeded Rs 4.19 crore, indicating a sophisticated financial crime operation.
According to police statements, the accused allegedly operated these accounts under the direct instruction of cyber fraudsters. In return for their services, they received commissions for facilitating these illegal transactions, making them willing participants in the criminal network.
Evidence Seized and Ongoing Investigation
Law enforcement officials have seized crucial evidence from the arrested individuals, including:
- Multiple chequebooks
- Numerous cheques
- Various related banking documents
Bijay Das, IIC of Rajgangpur police station, emphasized that the investigation remains active and expanding. "Our efforts are currently focused on apprehending the remaining individuals involved in this criminal network," Das stated. "We are working diligently to uncover the complete money trail and expose the entire operation behind these fraudulent activities."
Broader Implications for Banking Security
This case highlights growing concerns about mule accounts being used to facilitate cyber crimes and money laundering schemes. Such accounts, typically opened with stolen or fabricated identities, serve as intermediaries to move illicit funds while obscuring their original source. The substantial amount involved—over Rs 4.19 crore—underscores the scale at which these operations can function before detection.
Banking institutions continue to face challenges in identifying and preventing such fraudulent activities, particularly when perpetrators use legitimate-seeming accounts to conduct their operations. This arrest serves as a reminder of the ongoing battle against financial cybercrime and the importance of vigilant monitoring systems within banking networks.
