Nine Arrested as Delhi Police Crack Interstate Cyber Fraud Syndicate

Delhi Police Crack Interstate Cyber Fraud Syndicate, Nine Arrested in ₹16-Crore Investment Scam

The Delhi Police have dismantled a major interstate cyber fraud syndicate involved in an investment scam exceeding ₹16 crore, arresting nine accused in a coordinated operation spanning multiple states. The arrests were made across Kerala, Karnataka, Andhra Pradesh, Uttar Pradesh and Delhi, officials said.

The case surfaced on September 12 after a victim approached the police, alleging that he had been lured into transferring large sums of money through what appeared to be a legitimate online investment opportunity. Investigators said the syndicate relied heavily on social media platforms to identify and groom victims.

According to police findings, the complainant was initially contacted through online channels and presented with promises of high and assured returns. After transferring funds in phases, he attempted to withdraw his investment, only to find all communication blocked. It was then that he realised he had been defrauded.

A technical investigation followed, focusing on transaction records and digital money trails. Officers discovered that the funds were deliberately routed through multiple bank accounts, a standard tactic used to obscure the origin of money and complicate detection by enforcement agencies.

Deputy Commissioner of Police (West) Sharad Bhaskar Darade said screenshots of transactions provided by the complainant proved critical. Analysis revealed that the beneficiary accounts were linked to 286 complaints filed on the National Cybercrime Reporting Portal.

“These accounts were not tied to a single incident,” a senior officer said. “They were connected to losses reported by victims across the country, clearly pointing to a coordinated and organised fraud operation.”

Investigators identified two major bank accounts in the name of Shoukath Ali, a resident of Mangaluru, Karnataka, through which suspicious transactions worth approximately ₹10.87 crore were routed. The mobile number associated with these accounts was also registered in Ali’s name. A police operation in Kerala led to his arrest, exposing the broader structure of the syndicate.

Interrogation and digital evidence revealed international links, with key handlers allegedly operating from outside India. Police said these overseas controllers managed fund movement while local operatives handled account opening and logistics.

To dismantle the network, the Delhi Police formed three special teams and carried out simultaneous raids in several states. All nine accused were arrested for their roles in recruiting account holders, opening bank accounts and facilitating fund transfers.

Officials said the syndicate operated through a layered hierarchy. Certain members were tasked with sourcing individuals willing to open bank accounts, often referred to as “money mules”. These individuals were provided accommodation and support, while their accounts were remotely controlled using mobile banking applications.

During the operation, police seized 11 mobile phones, SIM cards, ATM cards, passbooks, cheque books and other incriminating materials. Those arrested include Babu Pynadath and Anthonies Babu from Ernakulam in Kerala; Devender Pandey alias Shivam, Durav Raj Mishra and Mohd Adnan Raza alias Billa from Uttar Pradesh; Farooq from Delhi; Amma Gunta Kavitha from Andhra Pradesh; and K V Shiva Yogi from Karnataka.

Police said further investigation is underway to trace overseas masterminds and identify additional bank accounts and victims linked to the scam.

Cybercrime experts say such cases underline how investment fraud today operates like a distributed enterprise, exploiting gaps in financial monitoring. Strong internal controls, independent auditing services in India and disciplined transaction records similar to professional bookkeeping services in India are often key to detecting abnormal fund flows early and preventing small frauds from scaling into multi-crore operations.

Officials have urged the public to remain cautious of unsolicited investment offers promising guaranteed returns, warning that professional-looking profiles and polished communication are increasingly used to mask organised fraud.