Shivamogga police arrest one on charges operating fraudulent mule accounts

Shivamogga police have arrested a resident of the city on charges of cheating several people by opening mule accounts and using them for illicit financial activities.

The arrested individual, Sharath alias Gunda, a resident of Tunga Nagar in the city, operated multiple mule accounts under various names and recorded transactions totalling over ₹11.48 crore, according to the police.

“Based on a complaint from a resident of the city, the Shivamogga CEN Police booked a case on charges of cheating on February 6 and began the investigation. They succeeded in tracing the accused and arrested him a couple of days ago.”

Upon interrogation, the police learnt that he had been operating 19 mule accounts in various banks. The police collected data showing that 96 people across the country had filed cases against these accounts, alleging fraud totalling over ₹55.43 crore.

The police searched his house and found 18 passbooks, seven cheque books, and 25 ATM cards, among other things. They discovered that a total of ₹11.48 crore had been transacted through these accounts during the preliminary investigation. The accused has been remanded to judicial custody.

Shivamogga SP Nikhil B. told The Hindu that the accused was part of a large network spread across the country. “It is a huge network with many people engaged in fraud and the illicit transfer of funds at different levels. Our staff succeeded in arresting the accused, who operated multiple accounts. The network is spread across the country and beyond,” Nikhil B. stated. He also appreciated the efforts of Police Inspector Manjunath and his team in the investigation.