Surat: With Gujarat witnessing a rising trend of cyber fraud cases targeting individuals, especially the senior citizens, there is a growing threat against the entrepreneurs, traders, and business community who are at the serious legal and financial risk–the misuse of bank accounts as so-called ‘mule accounts’.
Senior police officials in Gujarat have warned that the cyber criminals, sitting in India or abroad, have devised a new and dangerous modus operandi where the bank accounts of unsuspecting individuals, employees, or small investors are used to route money obtained through online frauds.
Deputy chief minister Harsh Sanghavi has directed the Gujarat police to launch a state-wide crackdown under ‘Operation Mule Hunt’ that has led to the arrest of hundreds of mule account holders and their middlemen across the state.
According to the Gujarat police, the individuals are given a lure of small commissions ranging from Rs 1000 to Rs 3000 per transaction in their accounts. However, experts have warned that the business owners are at higher risk, especially when company accounts, employee-linked accounts, or third-party vendor accounts are misused without the immediate knowledge of the entrepreneurs.
“It is a modus operandi of the cyber criminals that they do not keep money at one place and keep it rotating” said Rajesh Bhati, a cyber crime expert in Gujarat. “For the cyber criminals, mule accounts are transit points for their illegal money. Once the amount is deposited in the account, it is immediately transferred, withdrawn or converted into cryptocurrency and routed to their foreign networks”.
“The mule account strategy by the cyber criminals is what makes the business accounts of the entrepreneurs and business houses and their employees vulnerable” said an advocate with the consumer protection forum.
“For those who participate in the mule account crime, the law treats them as criminals. Even if they are getting commission by renting their accounts, legal action follows” he added.
The start-ups, MSMEs and even small businesses are at higher risks of the mule account frauds as they often delegate banking operations to staff or share account access with partners, accountants, or agents.
Now, the police authorities have urged the businesses and individuals in Gujarat not to share their bank account details, PINs, OTPs, cheque books or PAN details or other digital credentials to anyone and to conduct regular audits of the account activity and employee access.
If any entrepreneur, firm or individual suspects cyber fraud or account misuse, they should immediately file a complaint on the National Cyber Crime Portal or call the cyber helpline number 1930.
