The investigation uncovered a sophisticated cybercrime network that exploited account mules and forged IDs to control bank kits, laundering fraud proceeds while using fake apps and dashboards to simulate official investigations or financial transactions
The Varanasi Cyber Crime Unit has busted a major inter-state digital fraud racket and arrested three individuals involved in extorting ₹1.10 crore from a local resident through impersonation and digital coercion. The breakthrough came after a detailed investigation into a complaint filed by Mahesh Prasad, a resident of Lathiya in Varanasi, who had been manipulated into transferring the large sum under the false pretext of a criminal investigation.
According to police officials, the fraudsters posed as officers from the Central Bureau of Investigation (CBI) and state police, claiming that Prasad’s identity had been linked to a ₹538 crore money laundering case. Using spoofed phone numbers, falsified documents, and fake digital interfaces, they convinced him that he was under legal scrutiny and would face arrest if he did not cooperate. The victim, fearing legal consequences, followed their instructions and transferred the money to several bank accounts provided by the accused.
Further investigation revealed that the cybercriminals operated a sophisticated network using account mules and forged identification documents to gain control of bank kits, including passbooks, cheque books, and ATM cards. These accounts were then used to launder money collected from similar frauds. The gang also used mobile applications and fake online dashboards to show fabricated updates on investigations or financial transactions, creating an illusion of legitimacy.
Gang’s global links under probe
The three arrested suspects—identified as residents of Gorakhpur, Lakhimpur Kheri, and Gautam Buddh Nagar—have a criminal history linked to cyber fraud cases in Noida and Lucknow. At the time of arrest, authorities recovered several mobile phones, SIM cards, ATM cards, and cash believed to be connected to the operation. All three have been booked under multiple sections of the Bharatiya Nyaya Sanhita and the IT Act, including provisions related to impersonation and digital fraud.
The operation was led by Assistant Commissioner of Police Vijay Pratap Singh, with strategic direction from Commissioner Mohan Agrawal and DCP Saravanan T. Authorities are now working to trace the wider network, which reportedly includes overseas collaborators. Officials have urged the public to remain cautious and verify any suspicious calls demanding money or personal information.
