Indian Police Arrest Three in Bengaluru for Supplying Bank Accounts Used in Cyber-Fraud Scheme

BENGALURU, India — Indian Cyber Command police arrested three individuals on Monday in a crackdown on a network accused of supplying bank accounts to route proceeds from cyber-fraud schemes. The operation resulted in the freezing of 507 linked bank accounts across the country.

The arrests targeted Amit Mishra, Tausif Ahmed, and Parashuram Sadanand Kannanavar, who are alleged to have facilitated the movement of illicit funds for an investment fraud ring. Authorities stated the suspects provided their own bank accounts or those of others to act as conduits for money laundering activities connected to international fraud operations.

The investigation was triggered by a complaint filed by a victim who lost more than 93.5 million rupees ($1.12 million) in an investment scam. Police traced the flow of funds from the initial transaction through a complex web of accounts, identifying the three men as key enablers in the money transfer process. While the primary victims were based in India, financial trails linked to the scheme extended to Hong Kong and the United States, specifically California, suggesting a cross-border operation.

Cyber Command officials described the arrests as a significant disruption to a criminal enterprise dedicated to laundering cyber-fraud proceeds. By seizing control of the 507 accounts, authorities aimed to halt further transfers and preserve evidence for ongoing legal proceedings. The suspects are currently in police custody as investigators work to map the full extent of the network and identify other potential accomplices.

The case highlights the evolving tactics used by cybercriminals who rely on local intermediaries to legitimize stolen funds before moving them overseas. Police noted that the individuals arrested were not necessarily the masterminds behind the initial investment fraud but played a critical role in the financial infrastructure that allowed the scam to succeed. Authorities are now examining transaction records to determine if the suspects operated independently or as part of a larger syndicate.

Questions remain regarding the total number of victims involved and the full scale of funds moved through the frozen accounts. Investigators have not yet confirmed whether the three arrested individuals were acting under the direction of organized crime groups based abroad. Police are expected to file formal charges in the coming days, though the timeline for recovering the victim's losses remains uncertain as international cooperation is required to trace assets held in foreign jurisdictions.

The operation underscores the increasing coordination between Indian cyber units and financial institutions to combat digital fraud, which has surged in recent years. As of Monday evening, no further arrests had been announced, but authorities indicated that the probe into the international links of the network would continue.