Delhi Police's Cyber Police Station in East District has arrested a deputy manager of a cooperative bank in connection with an alleged mule account that investigators say handled nearly ₹67.92 crore linked to cyber fraud activities across India.
According to officials, the account came under scrutiny after it surfaced repeatedly in complaints registered on the National Cyber Crime Reporting Portal. Authorities said the account was connected to as many as 159 cyber fraud cases reported from different states.
Bank Official Accused of Ignoring Verification Procedures
The arrested individual, identified as 42-year-old Pabitra Kumar Biswal, was working as a deputy manager at a cooperative bank branch in Delhi. Investigators allege that mandatory customer verification procedures and Know Your Customer (KYC) requirements were not properly followed during the opening of the account.
Police recovered two mobile phones during the investigation and initiated legal proceedings under relevant provisions of the Bharatiya Nyaya Sanhita.
Account Holder Allegedly Denied Opening the Account
During the investigation, authorities discovered that the account was opened in the name of Mahakal Enterprises using the credentials of Shailendra Kumar Yadav.
However, when questioned by investigators, Yadav reportedly denied ever visiting the branch, submitting documents or signing account opening forms. Further verification reportedly showed that he was not present at the bank during the period when the account was created.
Officials also stated that signatures found on the documents did not match his verified signatures, indicating possible misuse of his identity.
₹67.92 Crore Routed Through the Account
According to investigators, the account opening process had allegedly been approved under the authority of the arrested bank official. During questioning, police claim the accused admitted that physical verification of the business and address mentioned in the documents had not been carried out.
Transaction analysis later revealed that approximately ₹67.92 crore had been credited to and transferred through the account, raising concerns over the scale of the alleged cyber fraud network.
Cases like these highlight the growing importance of strong compliance systems, customer verification standards and transparent financial practices. As financial institutions face increasing regulatory scrutiny, the role of auditing services in india has become more significant in helping organisations strengthen internal controls and detect procedural gaps.
Wider Cyber Fraud Network Under Investigation
Delhi Police said the investigation is continuing to identify other beneficiaries, facilitators and bank accounts that may have been involved in the larger network.
Officials are also examining whether additional individuals played a role in enabling the movement of fraud proceeds through multiple channels.