ED arrests four persons from Tamil Nadu in cyber fraud case

New Delhi [India]September 14 (ANI): The Enforcement Directorate (ED) has arrested four persons from Pallipattu in Tamil Nadu in a case related to cyber fraud worth Rs 2.6 crore by a cyber criminal posing as a Central Bureau of Investigation (CBI) official.

The accused, identified as Tamilarasan Kuppan, 29, Prakash, 26, Aravindan I, 23, and Ajith, 28, were arrested on September 13.

According to ED, all four accused were involved in setting up shell companies and opening bank accounts through which the proceeds generated from the cyber scam were laundered. A special court in Bengaluru has remanded these accused in four days' custody.

In addition, the agency said it had frozen Rs 28 million in proceeds of crime in the bank account of a shell company, Cyberforest Technology Private Limited.

ED initiated an investigation based on several FIRs registered by various state police departments across the country, including FIR No. 330 dated September 3, 2024, registered by the Special Offences and Cyber ​​Crimes Police, Jaipur.

The victim in FIR No. 330 in Jaipur received a call from a mobile number where a person claimed to be calling from Mumbai Customs and informed the victim that illegal goods were being shipped abroad under his name.

The victim was then instructed to make a “money legalization payment” as security to ensure that the victim had not earned any money illegally. Under the pretext of “money legalization”, the fraudsters demanded to transfer a total amount of Rs 2.16 crore in three separate installments to three different accounts specified by the caller.

Subsequently, according to the ED, a person claiming to be a CBI official contacted the victim through mobile phone.

“The fraudster further claimed that he was a CBI officer. Furthermore, the victim received a call from someone claiming to be DCP Delhi Police to verify the authenticity of the so-called CBI officer. On the insistence of so-called government officials, the victim was pressurised and blackmailed of his entire savings and investments amounting to Rs 2.16 crore,” the federal agency said.

With a swift response from the ED, POC funds amounting to Rs 2.8 crore were frozen on September 12 in a Bandhan bank account of shell company Cyberforest Technology Private Limited, to which the victim had transferred the proceeds, the agency said.

“The entire process and activities related to the transactions in the bank accounts of these shell companies were carried out through a WhatsApp group which included Tamilarasan, Ajith, Aravindan, Prakash and others, along with Chinese fraudsters.” Investigations have revealed that Tamilarasan, one of the arrested, was in touch with Chinese cyber fraudsters to siphon off the amount of Rs 2.8 crore frozen in Bandhan Bank.

“It was also revealed that Tamilarasan, Ajith, Prakash and Aravindan were actively involved in setting up shell companies and opening bank accounts of these shell companies which were used to launder the proceeds of crime from various cyber frauds,” the ED said.

“Tamilarasan, in active support of Ajith, Prakash and Aravindan, ran a syndicate to help cyber fraudsters obtain fake directors, addresses and documents for setting up shell companies and establish contacts with bank officials for opening accounts through which the proceeds generated through cyber fraud were laundered,” the agency added.

Earlier, the ED had arrested four persons, namely Shashi Kumar M, Sachin M, Kiran SK and Charan Raj C, in Bengaluru on August 15 and 21 this year. They are currently in judicial custody.

So far, 17 searches have been conducted at various locations, resulting in the seizure of various incriminating materials, including mobile phones and other digital devices, and the freezing of Rs 2.8 crore in the bank account.

Investigations under the PMLA 2002 have so far revealed a loss of over Rs 28 crore due to cyber fraud. (ANI)