Major Cyber Fraud Network Busted by Ahmedabad CID, Rs 4.26 Crore Siphoned to Dubai
In a significant breakthrough against organized cybercrime, the CID (Crime) Cyber Cell from Ahmedabad has dismantled a sophisticated fraud network connected to at least 289 online cheating cases spanning multiple Indian states. The investigation, which culminated on Monday, revealed that the accused had allegedly siphoned off a staggering Rs 4.26 crore, with the illicit funds being transferred out of India and withdrawn in Dubai using forex prepaid cards.
How the Fraud Network Operated
The case originated from a complaint filed by Police Sub-Inspector Disha Dabhi of the Gandhinagar CID cyber cell, following crucial intelligence provided by the Financial Intelligence Unit (FIU) in Delhi. The FIU had flagged 26 suspicious savings bank accounts operated from the Veraval branch in Gir Somnath district. These accounts collectively received Rs 1.29 crore in cash deposits.
Further forensic scrutiny uncovered an additional layer of transactions: Rs 2.97 crore was transferred into these 26 accounts from 54 other savings and current accounts through various electronic payment methods including NEFT, RTGS, and IMPS.
The Dubai Connection and Money Laundering Technique
Investigators discovered that after layering the funds domestically through multiple accounts, the accused employed an emerging method favored by cybercriminals to move proceeds overseas while evading detection. The money was converted into forex prepaid cards and subsequently withdrawn as cash in Dubai.
This technique represents a sophisticated evolution in money laundering operations, allowing fraudsters to bypass traditional banking safeguards and international transfer monitoring systems.
Key Accused and Their Roles
Through meticulous technical analysis of linked mobile numbers, IP addresses, and Gmail IDs, investigators traced the operation to two primary suspects:
- Abdul Panwala of Veraval, who allegedly admitted during interrogation that 20 of the 26 flagged accounts were opened in the names of different individuals, while one IndusInd Bank account was in his own name.
- Mustak Khanani, also from Veraval, who was linked to the remaining six accounts and followed a similar modus operandi.
According to police statements, funds routed into these accounts were systematically converted into forex cards, withdrawn abroad, and distributed after deducting commissions. Khanani allegedly passed proceeds to associates based in both Veraval and Mumbai.
Broader Network and Additional Findings
The investigation also traced two HDFC Bank accounts linked to firms AS Fishers and TSB Fish Traders, whose proprietors allegedly handed over account control to other accused individuals for routing cyberfraud money.
A comprehensive check on the National Cyber Crime Reporting Portal (NCCRP) revealed that while only seven cyberfraud complaints were directly linked to the 26 Veraval savings accounts, the wider network of 54 connected accounts was implicated in 289 cyberfraud cases reported from various states across India.
Legal Action and Ongoing Investigation
The CID cyber cell has registered a First Information Report (FIR) under relevant sections of the Bharatiya Nyaya Sanhita and Section 66(d) of the IT Act for cheating and breach of trust. Those named in the FIR include:
- Abdul Panwala and Mustak Khanani from Veraval
- Shabbir Bhadela, Wasim Bhadela, and Mohammed Taha Bhadela from Thane
- Maksud Sorathia and Sakib Hala from Veraval
- Afzal Varvani from Ghatkopar
Police indicated that the execution of these frauds began as early as May 12, 2023. Further investigation is currently underway to trace the complete money trail, identify additional victims, and uncover more links in this extensive cyber fraud network.
