Khammam Police Bust Rs 547-Crore Cyber Scam, 18 Arrested

In one of the biggest cybercrime-linked financial crackdowns in Telangana in recent months, Khammam police have dismantled a major mule bank account network that allegedly facilitated illegal transactions worth nearly Rs 547 crore . Police arrested 18 persons for allegedly aiding cyber fraudsters by supplying bank accounts used to route stolen money.

A case has been registered against 24 accused in total, while six persons are absconding , according to Khammam Police Commissioner Sunil Dutt . Police said the racket operated in an organised manner between 2022 and 2025 , running a structured network to source bank accounts for cybercriminals.

Officials said the accused lured innocent individuals with promises of jobs, business opportunities, investment returns and commission-based income , and persuaded them to open bank accounts in their names. After the accounts were opened, the accused allegedly collected and misused internet banking credentials , gaining full control over the accounts.

Investigators said these mule accounts were used to receive proceeds from cyber fraud and to execute layering, rapid transfers and laundering of money. Police noted that the accounts were allegedly “rented” to cyber criminals for commission, helping them move funds through illegal channels.

Authorities said the racket enabled activities such as cash withdrawals, conversion into cryptocurrency and possible overseas transfers , which are commonly seen in large cyber fraud operations. Forensic analysis confirmed suspicious transactions amounting to Rs 547 crore through accounts linked to the accused and their associates.

Police added that the financial trail is connected to multiple cyber fraud cases registered across several states , and the investigation is continuing to identify the beneficiaries and trace the full network behind the operation.