Daijiworld Media Network - New Delhi
Hyderabad, Jun 24: Hyderabad Cyber Crime Police have arrested six individuals for their alleged involvement in a Rs 1.22 crore online investment fraud, uncovering a network of mule bank accounts that was allegedly used to channel cybercrime proceeds and facilitate money laundering operations.
Police said on Wednesday that the arrests represent a major breakthrough in dismantling financial networks that support cyber fraud across the country.
Among those arrested, three are residents of Maharashtra, two are from Karnataka, and one is from Andhra Pradesh.
According to investigators, the case dates back to January 2026, when a Hyderabad resident was added to a WhatsApp group titled '282 BARCLAYS India High-Quality Stock Trading Research Group'.
The victim was persuaded to invest through fraudulent online platforms, including www.BarclaysDailyTrading.com and app.bulishmark.com, after being promised substantial returns and preferential allotments in initial public offerings (IPOs).
To gain the victim’s trust, the fraudsters initially allowed him to withdraw Rs 1.05 lakh. Encouraged by the apparent success, he subsequently invested a total of Rs 1,22,18,029.50 through 19 separate transactions.
The scammers later displayed fabricated profits amounting to Rs 15.69 crore on the platform and demanded an additional Rs 35 lakh, claiming it was necessary to release the promised IPO allotments.
According to V. Arvind Babu, Deputy Commissioner of Police (Cyber Crimes), the investigation revealed that one of the principal accused had established a company specifically to open high-value current bank accounts and share internet banking credentials with third parties.
These accounts were allegedly used to receive and transfer funds generated through cyber fraud and illegal online trading activities.
Police further discovered that legitimate business accounts were obtained through commission-based arrangements, while other accounts were activated by using remote access tools and manipulating one-time passwords (OTPs).
The accused allegedly earned commissions by procuring, supplying and facilitating the use of these accounts for criminal networks.
Investigators found that a YES Bank account supplied by one of the accused had links to 26 cybercrime cases across India, including four registered in Telangana. Financial analysis showed transactions worth Rs 1.10 crore passing through the account.
Similarly, a Central Bank of India account allegedly provided by two of the accused was linked to 18 cybercrime cases nationwide, including two in Telangana, with transactions amounting to approximately Rs 3.37 crore.
Police said these accounts were primarily used to process payments linked to fraudulent online trading platforms.
Investigators concluded that the accused were actively involved in facilitating and supplying bank accounts that were subsequently used to launder and transfer money obtained through cybercrime and other illegal online operations.
Further investigation into the network is ongoing.