In a significant crackdown on drug-related money laundering, the Enforcement Directorate (ED) has frozen more than 100 bank accounts suspected to be mule accounts and seized cash amounting to ₹70 lakh in connection with a cocaine trafficking case. The action represents a major breakthrough in dismantling the financial infrastructure supporting narcotics trade in the national capital region.
Massive Financial Network Uncovered
The Enforcement Directorate's investigation revealed an extensive network of bank accounts being used to layer and integrate proceeds from cocaine trafficking. Over 100 accounts identified as mule accounts have been frozen under the provisions of the Prevention of Money Laundering Act (PMLA). These accounts were being operated by various individuals who acted as fronts for the drug traffickers.
During coordinated raids conducted across multiple locations in Delhi, ED officials made a substantial cash seizure of ₹70 lakh believed to be directly linked to the cocaine trafficking operations. The funds are suspected to represent profits from drug sales that were being prepared for placement into the formal financial system.
How the Money Laundering Operation Worked
Investigators have uncovered a sophisticated modus operandi where drug sale proceeds were being funneled through multiple layers of transactions. The scheme involved using mule accounts to receive small amounts that would not typically trigger banking alerts, followed by transfers between various accounts to obscure the money trail.
The cocaine trafficking network operated across Delhi and surrounding areas, with the financial operations carefully structured to avoid detection. The frozen accounts were being used to receive, consolidate, and then transfer the illicit funds, making it difficult for authorities to trace the money back to its criminal origins.
Evidence gathered during the investigation indicates that the drug money was being prepared for investment in legitimate businesses or for transfer overseas, completing the money laundering cycle that would have effectively cleaned the dirty money.
Ongoing Investigation and Future Actions
The ED's action comes as part of a broader probe into organized drug trafficking networks operating in the Delhi region. The agency is continuing its investigation to identify the masterminds behind both the drug trafficking and money laundering operations. Additional suspects are likely to be questioned in the coming days.
Law enforcement officials have emphasized that this crackdown on the financial infrastructure supporting drug trafficking is equally important as arresting the peddlers themselves. By targeting the money flow, authorities aim to disrupt the entire ecosystem that makes drug trafficking a profitable criminal enterprise.
The frozen accounts and seized cash will remain under the ED's custody as the investigation progresses. The agency is also examining digital evidence, including mobile phones and computers seized during the raids, to build a stronger case against those involved in this sophisticated money laundering operation.
