A tip-off from a private bank manager helped Bengaluru police expose one of the largest digital arrest frauds in Karnataka, leading to the arrest of six individuals accused of fleecing approximately Rs 24 crore from a 74-year-old woman. Investigation revealed that the arrested persons were involved in multiple cybercrimes across Belagavi district and several other states.
Victim Profile and Initial Contact
Laxmi Ramamurthy, a former teacher in Dubai, lives alone in Shivajinagar. She owns properties in Bengaluru and Mumbai. Since her children reside in the US, she intended to sell some properties to transfer money to them. In February, she began receiving calls from fraudsters posing as CBI and ED officers, who accused her of money laundering and threatened arrest. When she pleaded innocence, they conducted video calls via WhatsApp, appearing in police uniforms with a station backdrop. They placed her under digital arrest and warned her not to discuss the calls with anyone.
Fraud Execution
Claiming to verify her bank accounts per RBI guidelines, the fraudsters instructed her to transfer money from her accounts, fixed deposits, and other investments. Between February 10 and April 24, she transferred Rs 24 crore from her ICICI Bank account in 26 transactions to 23 mule accounts across 10 banks nationwide. After exhausting her funds, they demanded she pledge her gold ornaments and transfer the proceeds. Each transfer was made via RTGS at her bank branch.
Bank Manager's Alert and Police Action
On April 24, when Laxmi visited the Cunningham Road branch to pledge gold for a Rs 3 crore transfer, the bank manager grew suspicious and alerted the cybercrime police. A team rushed to the bank, counselled her, and explained it was a cyber fraud. Under DCP (Crime 2) Raja Imam Kasim P, inspectors Mohammed Mukkaram, Deepak, Subbarao, and others arrested six individuals: N Shivagnanam from Erode, Tamil Nadu; Akkach Mallick from Mumbai; Palakbhai Patel and Amit Narendra Patel from Ahmedabad; Om Prakash Rajput from Delhi; and Gaurav Kumar from Bihar.
Investigation and Arrests
The police team instructed Laxmi to inform the fraudsters that she would transfer the money. Using technical assistance, they traced the suspects. Shivagnanam, 84, a retired bank employee, had created a trust named Aram Services Foundation to receive fraudulent money for commission. Most accused had set up trusts to receive illicit funds, except Gaurav. Gaurav hired Om Prakash, an electrical business owner, to open mule accounts, offering 15% per transaction. The stolen money was transferred to around 9,000 accounts, including gambling sites. Police froze over Rs 4 crore and obtained a court release order for more than Rs 1.4 crore, with recovery of another Rs 1.4 crore underway.
Broader Network
Police stated that Palakbhai Patel and Amit Narendra Patel are linked to a Rs 15-crore digital arrest fraud in Belagavi. Shivagnanam is involved in four other cyberfraud cases, and Akkach Mallick in three. Laxmi has since travelled to the US to stay with her children. Police plan to transfer the frozen funds to her account.
