In a major crackdown on cyber-enabled financial fraud, the central bureau of investigation (CBI) has carried out coordinated searches across Karnataka, Tamil Nadu and Kerala, arresting three persons in connection with a large-scale transnational cybercrime case. The operation, conducted on 14 October 2025, forms part of the ongoing 'Operation Chakra V', aimed at dismantling global cyber fraud networks targeting Indian citizens.
According to CBI, the case pertains to a sprawling part-time job and investment scam in which thousands of victims across India were allegedly cheated of crores of rupees. The accused, including Indian and foreign nationals, orchestrated a sophisticated digital network that exploited social media, mobile applications and encrypted messaging platforms to lure people with false promises of high returns.
Initial investigation has revealed that the fraudsters created an intricate web of shell companies, primarily based in Bengaluru, to channel and launder the illicit proceeds. The network allegedly appointed unsuspecting individuals as directors in these firms under the pretext of offering part-time employment in e-commerce or fin-tech ventures.
Using forged credentials and fraudulently obtained digital signatures, the accused incorporated multiple companies and opened a large number of bank accounts to receive funds from victims. The collected money was then layered and diverted through payment gateways, UPI platforms, and cryptocurrency exchanges, effectively concealing the trail of illegal gains.
CBI officials say that significant portions of the funds were converted into crypto assets, gold, or remitted abroad through clandestine routes. The agency also traced financial flows linked to foreign-controlled entities engaged in illegal online gambling and investment fraud operations.
The cyber syndicate used a combination of digital advertisements, bulk SMS campaigns and SIM box systems to promote fraudulent schemes. Victims were typically contacted through Telegram and WhatsApp groups, where they were enticed to perform simple 'tasks' such as liking videos or rating products online, in exchange for small initial payments. Once the victims gained confidence, they were persuaded to invest larger sums with the promise of high returns — only to find their money vanish.
To create legitimacy, the scammers generated fake know-your-customer (KYC) documents, counterfeit company registrations and fraudulent websites, while routing communications through encrypted platforms to avoid detection. Investigators believe that the operations were controlled remotely from overseas, with Indian intermediaries managing the domestic financial and recruitment channels.
CBI’s probe has established foreign coordination in the scam, with several Indian nationals found to be operating under the direction of overseas handlers. These entities allegedly controlled the entire network’s digital infrastructure and financial operations.
“Substantial financial flows were traced to accounts associated with these foreign-linked entities, indicating an extensive transnational cyber fraud network,” CBI says in a statement.
The agency is now pursuing leads to identify additional accused, including foreign nationals and to trace and freeze the proceeds of crime routed through both domestic and international systems. Efforts are also underway to collaborate with global law enforcement agencies and cryptocurrency exchanges to track the movement of funds.
This latest action is part of Operation Chakra V, a continuing multi-agency initiative involving coordination between CBI, the ministry of home affairs’ Indian cybercrime coordination centre (I4C), Interpol, and state police units. The operation targets cyber-enabled fraud networks that operate across multiple jurisdictions and use advanced digital infrastructure to target Indian citizens.
CBI registered the present case based on inputs received from I4C which had flagged the emergence of several interconnected online investment and job fraud modules being run from India with overseas backing.
The case highlights the growing sophistication of cybercrime networks that exploit digital platforms and financial technology tools to defraud the public. By using a mix of crypto transactions, shell firms and cross-border payment channels, these networks make traditional law enforcement tracking more difficult.
Cybercrime experts and authorities have repeatedly urged citizens to avoid sharing KYC documents or personal data with unverified online entities and to report suspicious offers immediately through the national cyber crime reporting portal (www.cybercrime.gov.in).
With the arrests made under Operation Chakra V, CBI has dealt another blow to transnational cyber syndicates preying on Indian citizens. However, the agency emphasised that the investigation is far from over, as several digital and financial leads are being pursued across borders.
