Bengaluru Woman Arrested for Misusing Bank Account in Cyber Fraud Scheme
In a significant move against cybercrime, a Bengaluru woman has been detained by the Cyber Crime Police for allegedly misusing a bank account to facilitate transactions worth ₹70.85 lakh, suspected to stem from cyber fraud. This incident is part of a concerted effort by the Karnataka authorities to clamp down on “mule accounts” linked to organized fraud across the state.
How the Fraud Unfolded
Investigators have traced the source of this cybercrime to a woman who obtained sensitive banking information, including net banking credentials and the associated mobile number, from a family acquaintance. In December 2025, she convincingly reached out via WhatsApp, claiming that the account would be utilized for legitimate travel and adventure-related expenses. She even assured the acquaintance that all necessary taxes would be settled.
Unbeknownst to the account holder, the mobile number linked to his account was altered without his consent. A surge of transactions totaling ₹70,85,137 was processed through this account on February 3, 2026, suggesting a link to a broader cyber fraud scheme.
The Crackdown on Mule Accounts
This case is emblematic of a larger initiative led by the Karnataka Cyber Command, which is aggressively targeting mule bank accounts and the criminal enterprises that operate them. These mule accounts are commonly utilized to receive, layer, and transfer illicit funds to evade law enforcement detection.
Since December 2025, law enforcement officials have identified 60 organized cases of mule accounts, revealing a shocking scale of operations:
- 869 mule accounts detected
- 8,788 complaints filed related to these accounts through the National Cybercrime Reporting Portal (NCRP)
- Fraudulent transactions amounting to ₹85.05 crore traced back to these accounts
- A total of ₹13.43 crore has successfully been put on hold
These findings illustrate a concerning trend, as mule herders are known to methodically collect identity documents from unsuspecting individuals to open multiple bank accounts, often under the names of relatives. This creates a covert financial network for transferring illegal funds across various jurisdictions.
Arrests and Investigative Actions
Authorities have acted decisively, having arrested 68 key suspects connected to these mule account operations. Law enforcement has executed 32 search warrants and conducted 35 searches in different regions of Karnataka.
During these operations, police seized a trove of incriminating items:
- 68 ATM cards
- 32 passbooks
- 35 mobile phones
- 37 cheque books
- 28 SIM cards
- Various other materials linked to the fraud
The structured and expansive nature of these mule networks indicates a sophisticated model akin to a business, designed to support multiple layers of cyber fraud simultaneously.
Risks for Account Holders
The police have urged account holders to remain vigilant, as many people unknowingly contribute to cybercrime by sharing their bank details, SIM cards, or identity documents. Once an account is identified as a mule, the original account holder risks facing legal consequences, account freezes, and financial losses.
Authorities strongly advise the public against sharing their banking login details, one-time passwords (OTPs), or any access to their accounts, even with acquaintances. Promptly reporting any suspicious requests is also crucial.
The Cyber Command has assured that efforts to dismantle remaining mule networks will persist in the upcoming weeks, with an emphasis on tracing the ringleaders orchestrating these complex fraud operations.
With these vigilant measures, the Karnataka Cyber Command is taking significant steps toward securing the financial safety of its citizens while combating a growing wave of cyber fraud.
