CBI chargesheet names 17, 58 firms in ₹1,000 crore cyber fraud scam

New Delhi (The Uttam Hindu): The Central Bureau of Investigation (CBI) has taken a major step by busting an international gang involved in a cyber fraud of over ₹1,000 crore. The agency has filed a charge sheet against 17 accused, including four Chinese nationals, and 58 companies in the case, officials confirmed on Sunday.

According to the CBI, after the network was exposed in October, investigations revealed that it was a well-planned and organised syndicate which was carrying out large-scale fraud across the country using complex digital and financial infrastructure.

How the gang used to commit fraud:

The gang's methods of fraud included misleading loan applications, fake investment schemes, Ponzi and multi-level marketing models, fake part-time job offers and fake online gaming platforms. According to the final report of the investigating agency, the gang concealed the transaction of illegal funds through 111 shell companies and siphoned off approximately Rs 1000 crore through 'mule' accounts. The report said that one of these accounts had an amount of more than Rs 152 crore deposited in a very short time.

The foundation of the fraud was laid during the COVID-19 period

The CBI stated that these shell companies were registered using dummy directors, fake documents, false addresses, and false business affidavits. According to the investigation, this cyber fraud network was launched in 2020 during the COVID-19 pandemic, when ordinary people were grappling with economic and social distress.

The agency says these companies were set up on the instructions of four Chinese nationals, Zhou Yi, Huan Liu, Weijian Liu and Guanhua Wang, who were playing a key role in running the entire network.

The investigation also revealed that Indian associates of the Chinese operators obtained identity documents of unknown

individuals and opened shell companies and bank accounts in their names. These accounts were used to launder and transfer the proceeds of fraud.

According to the CBI, concrete evidence related to communication links and operational control has been found, which makes it clear that this entire cyber fraud network was being operated from abroad and the Chinese mastermind played an important role behind it.