Inside India’s Mule Account Crisis: How a Rapido Driver Ended Up With ₹331 Crore in His Bank Account

Imagine checking your bank balance one random morning and seeing ₹331,00,00,000 staring back at you.

That’s what happened to a Rapido driver in Delhi — a man who spent his days riding around the city with no idea that his personal ID was being used for a high-volume financial racket.

This is not a one-off headline. India is witnessing a massive rise in mule accounts, used for scams, betting apps, hawala-style transfers, and tax evasion structures. These accounts are becoming the backbone of illegal financial flows across the country.

Let’s break down how it works.

1. What Exactly Is a Mule Account?

A mule account is a bank account opened using someone else’s identity for the purpose of:

• moving unaccounted money

• routing illegal betting proceeds

• conducting fraud transactions

• hiding taxable income

• enabling shadow wallets

• helping offshore fund diversion

The person whose name is used often has no clue what’s going on. They are typically workers earning daily wages, delivery riders, drivers, or people who lack formal financial awareness.

2. The ₹331 Crore Rapido Driver Case: How It Happened

In this specific case, investigators found:

• ₹331 crore flowed into the bank account over 8 months

• That is nearly ₹1.3 crore per day

• Transactions came from 50+ unidentified sources

• Money was moved out every 4–9 minutes

• The account holder earned a basic living and had zero idea

This system is designed to keep the mule blind, poor, and compliant.

3. How People Are Recruited Into Mule Networks

The process is disturbingly simple:

Step 1 — Identify vulnerable individuals

Delivery riders, auto drivers, migrant workers, unemployed youth.
People who need money urgently and won’t question the details.

Step 2 — Pay them ₹20,000–₹50,000

A one-time payout for handing over:

• Aadhaar

• PAN

• Photos

• Signatures

• Video KYC

Most don’t realize these will be used to build a full financial identity in their name.

Step 3 - Create a fake compliant company

Scammers form:

• a shell company

• GST registration

• bank current accounts across multiple banks

All under the victim's name.

Step 4 - Collude with banking insiders

This is the part nobody talks about.
Insiders help open multiple accounts quickly, bypassing friction.

Step 5 - Start the flow of dirty money

The mule account becomes the final-mile placement channel for:

• betting app deposits (#1XBET clones, TopUp Kings)

• scam proceeds

• shadow-wallet funds

• high-risk tax evasion structures

Money arrives → instantly moves out → becomes untraceable.

4. The Betting App Ecosystem Behind the Money

The Ministry of Home Affairs has already stated:

• Illegal betting apps in India generate ₹500–₹900 crores DAILY

• Most run through offshore operators

• Shadow wallets and mule accounts are the final settlement layer

The most common flow is:

Betting Operators → Shadow Wallets → Mule Accounts → Final Placement

Final placement includes:

• luxury weddings

• crypto purchases

• cash withdrawals

• conversion into gold

• transfer to Dubai or other offshore hubs

In this Rapido case, ₹1 crore was used in an Udaipur destination wedding linked to a Gujarat political family. That is the only trail authorities currently have.

5. Why These Cases Are Almost Impossible to Trace

1. Money never stays in the mule account

Funds move every few minutes.

2. The mule has no knowledge

Even under investigation, they cannot reveal anything.

3. Shadow wallets mask the original source

Digital layering makes it difficult to trace senders.

4. Fake GST filings add legitimacy

Scammers file basic GST returns so the account doesn’t get flagged instantly by the system.

5. Offshore operators stay outside Indian jurisdiction

Most masterminds are in Dubai, Cyprus, Singapore, or Eastern Europe.

6. The Bigger Risk: Tax, Compliance & Banking Gaps

Mule accounts are now affecting:

• payment gateways

• GST intelligence

• credit scoring

• banking security

• transfer pricing trails (#transferpricing)

• anti-money laundering (#AML) audits

• law enforcement investigations

This is no longer a small fraud problem — it is a parallel financial economy.

Shunyatax Global — Helping You Stay Compliant in a High-Risk Financial Landscape

Shunyatax Global believes financial clarity begins with understanding how money flows.
We assist businesses with:

• tax filing

• NRI services

• investment planning

• auditing services in India

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Our team works with companies, fintechs, family offices, and HNIs to detect red flags, secure compliance records, and build defensible financial structures.

If your industry intersects with fintech, gaming, logistics, payments, or high-volume transactions — you need expert guidance.

Start your journey with us today:
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