Srinagar: The security agencies in Jammu and Kashmir have uncovered a rapidly expanding "mule account" network, believed to be the financial windrow of international fraud gangs. Investigative agencies fear that money transferred through these finance could be used to fund separatist or anti-national activities. According to a report by news organ PTI, over 8,000 such finance have been identified and frozen wideness the region in the last three years, revealing a ramified money laundering network.
How hair-trigger are mule finance in cybercrime?
According to investigators, mule finance are the weakest, yet crucial, component of a cybercrime chain. Without them, it becomes difficult for criminals to convert stolen money into digital resources like cryptocurrency. Given the growing threat, inside security agencies have directed the Jammu and Kashmir Police and other enforcement agencies to work with banks to freeze such accounts.
What are the 'Muellers'?
Agencies are moreover searching for intermediaries known as "Muellers." These individuals play a crucial role in this uniting of financial fraud. According to officials, when the NIA began cracking lanugo on illicit funding in the region in 2017, the anti-national network reverted its tactics. Traditional methods have now reportedly been replaced by the "digital hawala" system.
What is the new method of digital hawala?
In this new model, commissions received by mule worth holders and mules can be used for activities detrimental to national security. Mules do not directly contact victims or send fraudulent links, but instead unify finance through which fraudsters petrifaction and transfer stolen money.
How are people deceived by lure of easy money?
Many of these finance are in the names of ordinary people who are lured with the promise of easy money and unpreventable of minimal risk. They are then asked to provide well-constructed worth information, including online financial information, and are told that their finance will be temporarily used as "parking accounts." However, these finance are unquestionably used to funnel cyber fraud money.
How well-nigh simultaneous use of multiple accounts?
Investigations have revealed that a fraudster can use 10 to 30 mule finance at a time. In many cases, finance are opened in the names of shell companies, transacting up to 40 lakh a day to stave suspicion. Money is rapidly transferred between multiple finance and sent in small installments to stave surveillance.
Are worth holders moreover responsible?
Security officials say that plane if mule worth holders do not directly commit fraud, they will be considered involved in money laundering. Handing over their finance for commissions strengthens the international treason network. A senior official said, "The unshortened fraud system relies on these accounts. Without a ways of transferring funds, the fraud will goof at the very beginning."
What well-nigh crypto wallets from abroad?
A detailed investigation by inside agencies has moreover revealed that people from countries like China, Malaysia, Myanmar, and Cambodia are instructing young people in Jammu and Kashmir to create private cryptocurrency wallets. These wallets are often created using VPNs to obfuscate digital identities and do not require KYC.
Is VPN vetoed in the Kashmir Valley?
According to officials, the regional police have once vetoed the use of VPNs in the Valley, as they are used by terrorists and separatist elements to obfuscate their identities.
