Cyberfraud gang lure students with 'currency exchange' offer, open mule accounts in Bengaluru

Bengaluru: The Bengaluru police have dismantled a gang targeting unsuspecting college students to create "mule accounts" for cyberfraud operations.

The arrests followed an investigation into a job fraud case in which a city resident lost Rs 12.4 lakh. The police traced the victim’s money through a network of bank accounts and arrested a college student whose name had been used to open one of these accounts.

The student revealed that a man from Rajasthan had approached him, claiming to need bank accounts for his "currency exchange" business. He allegedly promised exciting returns in exchange for opening accounts and handing over their details.

The police said the gang used the same tactic to contact several students, convincing them to open bank accounts, which were later used to facilitate cyberfraud. After obtaining the phone number of the person who contacted the student, investigators traced the suspects and arrested two men — Abhay Dhan and Arvind, both aged 19 and from Jodhpur, Rajasthan.

The suspects disclosed that two accomplices were operating in Bommanahalli, southeast Bengaluru. Following this lead, the police arrested Pavan Bishnoi, 18, and Sawayi Singh, 21, from Jaisalmer.

“These suspects were staying in paying guest accommodations in Bommanahalli, where many college students reside. They befriended students and convinced them to open bank accounts in their names,” said an investigating officer.

Modus operandi

The gang’s modus operandi involved befriending students, pitching the currency exchange story, and using one student to contact others, building a network of accounts.

Investigations revealed that the suspects used the stolen funds to purchase tether cryptocurrency on Binance and transferred it to digital wallets. The police also noted that the gang had several accomplices and a search operation for them is under way.

The police have seized 19 mobile phones, two laptops, 20 SIM cards, 34 passbooks, 106 credit cards, and 39 cheque books in the operation.