Odisha Police Busts Major Cyber Fraud Gang Using Mule Accounts; Network Linked to Jamtara

The Odisha Police have uncovered a large cyber fraud network that was operating across multiple regions using mule bank accounts to siphon money from victims nationwide. The Jharsuguda police arrested 13 members of the gang, including two minors, after weeks of surveillance and technical investigation. According to officials, the gang was actively creating and using mule accounts to route fraudulent funds to handlers operating outside the state.

The police have identified 61 mule bank accounts so far and have frozen ₹16.44 lakh deposited in them. Investigators believe the total number of such accounts could cross 100 as the probe moves into advanced stages.

How the Cyber Fraud Network Operated

Preliminary findings reveal that the gang used a multi-layered and well-structured system to run its operations. Their first step was to target young individuals and low-income workers by offering quick cash in exchange for opening new bank accounts. Once an account was created, the ATM card, passbook, SIM card, and complete net banking access were handed over to the gang’s intermediaries.

Each mule account fetched ₹15,000, out of which the account holder received ₹5,000, while the mediator kept ₹10,000. These accounts were then used to move money stolen through cyber fraud, making the financial trail extremely difficult to trace.

Students and Daily Wage Workers Targeted

According to a report by The New Indian Express, the gang’s network stretched across several districts in western Odisha, including Jharsuguda, Sundargarh, Rourkela, Sonepur and Sambalpur. Police officials said the group mainly targeted students, unemployed youth and daily wage labourers who were easily convinced to open accounts in exchange for money.

Multiple local middlemen were deployed across different regions to collect account details. They later transferred the information to handlers based outside the state.

The Jamtara Connection

Investigators discovered that once the mule accounts were secured, their complete details—including bank documents and login IDs—were forwarded to operators in Jamtara, a well-known hotspot for cybercrime. The Jamtara-based handlers would then route fraudulent money into these accounts and quickly transfer it to other destinations.

This layered method helped the gang conceal the origin of stolen funds, making detection and tracking extremely challenging for law-enforcement authorities.

Money Frozen and Cases Linked to the Gang

The Jharsuguda police confirmed that they have successfully identified 61 mule accounts used by the network, and the amount found in these accounts—₹16,44,000—has been frozen. Officials believe that more accounts and transactions will come to light as the investigation progresses.

So far, the gang has been linked to four cybercrime cases registered in different parts of the country, including locations such as Cyberabad, Ghazipur, and Meerut.

Who Has Been Arrested?

Out of the 13 people arrested:

• Six are from Jharsuguda,

• Three are from Sambalpur,

• One is from Bihar but currently based in Rourkela,

• Two are minors, now taken into protective custody.

During the search operations, police seized several ATM cards, passbooks, identity documents and mobile numbers connected to the fraudulent activities.

Investigation Expands to Trace the Entire Network

The police are now focusing on identifying the gang’s forward and backward links to understand the full extent of the fraud network. Investigators are also examining digital evidence to trace the flow of money, communication channels, and the involvement of Jamtara-based masterminds.

Authorities believe this bust is only the beginning and that further arrests are likely as more layers of the syndicate are uncovered.