Money Mule: Around 400 To 500 Bank Accounts Opened By Fraudsters In The Names Of EWS People; MP's Satna Becomes Haven For Cyber Crooks

Bhopal (Madhya Pradesh): The Vindhya region of Madhya Pradesh, particularly Satna district has become a safe haven for cyber crooks. The region has emerged as fertile base for mule accounts used to stash and transfer money acquired through fraudulent means. It is even suspected that these fraudsters are involved in transfer of funds linked to terror financing.

Mule account refers to a bank account that is used to facilitate illegal activities such as money laundering and fraudulent transactions. A probe by the cyber cell of the MP Police has unearthed an interstate racket engaged in opening bank accounts of people of economically weaker section promising them benefits of various government-run schemes. These accounts are then sold to cyber fraudsters across the country to park and route the proceeds of cybercrime.

So far, around 400 to 500 such mule accounts have been traced, with the majority opened by fraudsters in the names of EWS people residing in Satna. The ongoing probe suggests that over Rs 1,500 crores have been routed by cyber crooks through these mule accounts opened in Satna district. In December 2024, the MP ATS got the whiff of the mule accounts-aided cyber fraud and suspected terror funding racket when 16 private security personnel (all belonging to economically weak families) working at a prominent cement factory in Satna district approached the local police.

One of the security guards, whose bank account was opened by the fraudsters, checked with the concerned bank’s kiosk about his newly opened bank account.  Acting on the complaint, state police so far have arrested at least 23 men of mule account racket which has its key players operating from MP, Delhi, Haryana and Telangana.

Terror financing link

A simultaneous probe being conducted by MP ATS has uncovered a strong possibility of the same mule accounts - used by cyber fraudsters to park and rotate the proceeds of their fraud- being used to route huge sums for terror financing.