CBI busts transnational cyber fraud network, nabs key operative from city

MUMBAI: The Central Bureau of Investigation (CBI), with assistance from the Federal Bureau of Investigation (FBI), busted a transnational Cyber fraud network by arresting its key operator, Vishnu Rathi, from the city. The agency has seized gold worth ₹3.70 crore and ₹16 lakh cash from the accused’s house.
The syndicate, which was active since 2022 and fleecing unsuspecting victims – primarily foreigners, had during June –August of 2022, allegedly contacted an American citizen, posing as technical cyber support providers and claiming that her bank account had been compromised. Under the pretext of helping her fix her bank account, the syndicate defrauded USD 4,53,953 (around ₹3.70 crore).
Armed with the critical information, the accused approached her on the pretext of technical support services and claimed that her bank funds were at risk, the accused allegedly manipulated the US citizen into transferring USD 453,953 to cryptocurrency wallets controlled by them and misappropriated the same, a CBI source said.
A cryptocurrency is a convertible virtual currency, but not a legal tender in India. Crypto wallets store private keys and keep crypto safe and accessible for spending, sending or saving.
The CBI is in touch with the FBI and law enforcement agencies of several other countries through INTERPOL (global police coordination agency) to get details on the fraud network’s other possible victims, the movement/parking of the proceeds of crime generated from its activities and other leads, agency sources said.
After registration of the case, the CBI conducted swift, extensive searches at seven locations across Mumbai and Kolkata on Thursday and Friday that were linked to the accused which yielded substantial evidence. “The searches have revealed that the syndicate was channelling the proceeds of crime through virtual assets and bullion,” a CBI source said.
During the search at the residential premises of accused Rathi, 57 gold bars of 100 grams each, ₹16 lakh cash, a mobile phone, a laptop used to manage cryptocurrencies, details of lockers and other incriminating documents were recovered, which are being assessed for acquiring leads and evidence, agency sources said.
“CBI has arrested Vishnu Rathi from Mumbai. Further operations are ongoing to identify other crime victims and crime proceeds,” a CBI source said. As per the current gold rates, the gold bars’ collective worth could be over ₹3.7 crore, as per sources.
The sources said that the CBI had launched Operation CHAKRA-III to combat and dismantle organized cyber-enabled financial crime networks through a globally coordinated law enforcement response, leveraging INTERPOL channels. “CBI is coordinating with the FBI and other law enforcement agencies through INTERPOL for a follow-up on leads in this case,” the source said.
Upon an alert from the FBI, the case was registered on Monday against Rathi and others by CBI’s International Operations Division to initiate a crackdown on the accused network, agency sources said.
The case was registered against Rathi and others under the Indian Penal Code’s sections related to the offences of cheating (420), criminal conspiracy (120B) and the Information Technology Act’s section 66 D (punishment for cheating by personation using a computer resource) and section 75 (any offence or contravention committed outside of India by any person, regardless of their nationality) of the Information Technology Act, 2000.