Engineering Students Arrested in Major Rs 90-Crore Cyber Fraud Operation in Puducherry

Chennai:

Puducherry's Cyber Crime Police have exposed an extensive cyber-fraud operation allegedly functioning within an engineering college, which investigators have described as a "hotspot for cyber crime." The scheme, connected to a Rs 90-crore scam, involved students selling their classmates' and friends' bank accounts to cyber-criminals who reportedly laundered money through India before converting it to cryptocurrency via networks operating in Dubai and China.

The investigation began after two engineering students, Dinesh and Jayapratap, contacted authorities when their bank accounts were unexpectedly frozen. They had provided their account information to their friend Harish - now facing charges - who had allegedly collected details of more than 20 bank accounts from students and local residents. These accounts served as "mule accounts" for storing fraudulently obtained funds. Investigators report that approximately Rs 7 crore was withdrawn through these accounts.

Authorities have arrested seven individuals so far, including four engineering graduates: Thomas (also known as Hayagriva), Harish, Ganesan, Govindaraj, Yashwin, Rahul, and Ayyappan. Police confiscated Rs 5 lakh in cash, 171 cheque books, 75 ATM cards, 20 mobile phones, laptops, computers, numerous bank passbooks, credit cards, and a Hyundai Verna car.

A central figure in the case, Ganesan, allegedly coordinated with Chinese cyber-criminals to convert the withdrawn funds into cryptocurrency, transmitting them via Telegram in exchange for commissions.

In an interview with NDTV, Puducherry's Senior Superintendent of Police (Cyber Crime) Nithya Radhakrishnan, IPS, stated that these arrests represent a significant advancement against not just the "mules" but also those facilitating online fraudsters. "We have been able to apprehend those who were laundering money for cyber-criminals, not merely the account holders. This shows how organised and international these networks have become," she explained.

She cautioned that sharing bank credentials, even with friends, could result in serious legal and financial repercussions.

The Puducherry Police have reinforced their appeal to the public to refrain from sharing bank account details, ATM cards, or online banking credentials with anyone, and to never allow others to operate their accounts.