1 week Ago By DC Correspondent
The Indian government has frozen 4.5 lakh "mule" accounts as part of a crackdown on financial fraud and money laundering. These accounts were reportedly being used for illicit financial activities, acting as intermediaries to facilitate illegal transactions or fund transfers, often as part of larger criminal networks.
The operation, led by the Enforcement Directorate (ED) and other financial regulatory agencies, aims to dismantle the infrastructure used for such activities, which are believed to be connected to various forms of financial crimes, including cyber fraud, tax evasion, and the funding of illegal operations. Mule accounts are typically created by individuals who are often unaware they are being used to facilitate these illegal transactions. The individuals, sometimes recruited through fraudulent schemes, allow criminals to move money through their accounts to avoid detection.
The government has urged financial institutions and payment service providers to tighten their monitoring of suspicious accounts to prevent the misuse of banking systems for illegal purposes. This move comes amid heightened efforts by the Indian government to combat financial crimes and enhance the security and integrity of the financial sector..
