Mangaluru: In a major crackdown on organised cybercrime, Mangaluru police have dismantled a sophisticated fraud syndicate operating out of Hyderabad, arresting six men accused of funnelling illicit funds through dozens of compromised bank accounts across India.

The case has been registered as Crime No. 09/2026 at the Cyber Crime police station in Mangaluru. Police have invoked Sections 66(C) and 66(D) of the Information Technology Act, 2000, along with relevant provisions of the Bharatiya Nyaya Sanhita, 2023. Investigators say the operation had nationwide ramifications, with hundreds of complaints now linked to the accounts under scrutiny.

Complaint from Bunder resident triggers probe

The investigation was initiated following a complaint lodged by Mohammed Ikhyal, a resident of Bunder in Mangaluru. According to police, Ikhyal was approached by his acquaintance Ibrahim, who requested the use of his current account for what was described as “business purposes”.

Trusting the request, Ikhyal allegedly handed over his bank passbook, ATM card, cheque book and an Airtel SIM card linked to the account. Investigators say this decision allowed the syndicate to gain full access to the account and route suspicious funds through it.

“The account was systematically used to channel illegal transactions. Technical analysis confirmed that this was not a case of isolated misuse but part of an organised and structured racket,” a senior investigating officer said.

A detailed examination of transaction trails, SIM card activity and device data indicated that the funds were being layered and transferred across multiple accounts to obscure their origin. The digital footprint led police to Hyderabad, where the core members of the network were allegedly coordinating the operation.

Six accused arrested in coordinated operation

Acting on the intelligence gathered, a special police team travelled to Hyderabad and apprehended five accused there. The sixth accused was arrested in Mangaluru. All six have been produced before the jurisdictional court and remanded to custody for further investigation.

The arrested individuals have been identified as Sheikh Karimulla alias Rasool (27), son of late Sheikh Mohammed Ali alias Rahim of Nellore in Andhra Pradesh; Budidinne Vamshi alias Guru (21), son of Budidinne Obulesu of Kurnool, Andhra Pradesh; Panditi Kranthi Kumar (36), son of Panditi Nagayya of Hyderabad; Ibrahim (35), son of Abdul Razak of Mulki; Bade Srinivas (38), son of Narasayya of Hyderabad; and Utsala Santosh Krishna (35), son of U V Satyanarayana of Nellore, Andhra Pradesh.

Police said the accused allegedly played different roles within the syndicate, including sourcing bank accounts, coordinating transactions, managing SIM cards and communicating with handlers.

Devices seized, dozens of accounts under scanner

During coordinated raids, police seized 18 mobile phones, one laptop, 12 SIM cards and 18 debit cards allegedly used in the operation. Forensic analysis of the seized devices revealed details of 72 bank accounts suspected to have been utilised for fraudulent transactions.

Alarmingly, 30 of these accounts were found to be linked to more than 272 complaints registered across the country on the National Cyber Crime Reporting Portal (NCRP). In one instance, a single bank account was associated with five separate complaints lodged from different states, underlining the interstate and organised nature of the racket.

Investigators further revealed that on February 26 alone, transactions exceeding Rs 2 crore were routed through the network in a single day. Officials believe the cumulative value of fraudulent transactions could run into several crores as the probe expands.

Social media lure and commission model

According to police, the accused adopted a deceptively simple yet effective modus operandi. Through social media advertisements and direct contacts, they allegedly offered bank account holders commissions ranging between 4% and 6% in exchange for allowing their accounts to be used for financial transactions.

Individuals lured by the promise of easy money reportedly shared complete banking credentials, including account details and linked mobile numbers. The accused would then obtain One-Time Passwords (OTPs) to authorise transactions.

“The credentials were subsequently passed on to handlers believed to be operating from abroad. This enabled large-scale movement of funds and layering of transactions to avoid immediate detection,” an officer said.

Police suspect that the network may have been linked to other categories of cyber fraud, including investment scams, impersonation frauds and online marketplace scams. However, officials clarified that the exact nature of upstream fraud activities is still under investigation.

Investigation to widen

Mangaluru police are continuing to trace the financial trail and identify additional bank accounts and individuals connected to the network. Authorities are coordinating with banks and cybercrime units in other states to freeze suspicious accounts and prevent further diversion of funds.

Officials have urged the public not to share bank credentials, ATM cards, cheque books or SIM cards with anyone, even acquaintances, as such actions can make them legally liable and expose them to serious financial risks.

With over 272 complaints already linked and more accounts under scrutiny, investigators indicated that the number of victims and the total volume of fraud may increase as the probe progresses. Further arrests have not been ruled out.