Background and Timeline: The Chandigarh Police Cyber Crime station initiated a major crackdown on the financial infrastructure of cybercrime through a campaign titled “Operation Mule Hunt.” The drive was launched in January 2026 following intelligence inputs that flagged a concentration of suspicious bank accounts within the city’s jurisdiction. This operation specifically targeted the “mule” layer of cyber operations, which is essential for the successful extraction of stolen funds by interstate syndicates.
Modus Operandi: The racket functioned by recruiting local individuals to open or share their personal and business bank accounts in exchange for fixed commissions. These accounts were then utilized as “mule accounts” to route, layer, and eventually withdraw the proceeds of various crimes, including digital arrest scams and part-time job frauds. By moving funds through these accounts, fraudsters were able to anonymize the money trail before converting the proceeds into cryptocurrency or withdrawing them as cash.
Victims and Financial Impact: The accounts identified in this operation were linked to numerous cyber fraud complaints registered across multiple states in India, including Punjab and Haryana. While the specific total for this bust is still being calculated, the network facilitated crimes that impacted hundreds of victims nationwide. The use of these mule accounts allowed syndicates to evade “Golden Hour” recovery efforts, as money was rapidly transferred out of primary accounts within minutes of a fraud occurring.
Investigation and Agencies Involved: The investigation was based on critical technical inputs from the Indian Cyber Crime Coordination Centre (I4C) under the Union Ministry of Home Affairs. Specialized teams analyzed complaints from the National Cyber Crime Reporting Portal (NCRP), which revealed that specific accounts in Chandigarh were repeatedly appearing in fraud cases registered elsewhere. This technical audit allowed the Chandigarh police to pinpoint the local operators responsible for the financial logistics of the racket.
Arrests and Suspects: Nine suspects were arrested during the operation, most of whom were identified as youth from Chandigarh and surrounding areas looking for easy money. Key individuals arrested include 22-year-old Ritik and 20-year-old Rythem from Mauli Jagran, as well as 25-year-old Akash from Mohali. These suspects allegedly allowed their personal bank accounts to be used for receiving and routing fraudulent funds, acting as the final link in the laundering chain.
Broader Implications and Trends: “Operation Mule Hunt” highlights the increasing trend of local youth being recruited as “commission-based mules” to support international and interstate cyber syndicates. It emphasizes the need for stricter bank KYC audits and proactive monitoring of newly opened accounts that show high-volume transaction patterns. Authorities have warned that renting or selling bank accounts is a serious criminal offense that can lead to permanent inclusion in national fraud blacklists.