CIK Conducts 22 Raids in Kashmir Over Suspected Cyber‑Terror Funding
Searches at 22 locations lead to detentions and seizure of digital and financial records in probe into mule bank accounts linked to cyber fraud, illegal gaming and suspected terror financing.
Counter Intelligence Kashmir (CIK), the specialised investigative arm of the Jammu and Kashmir Police, on Wednesday carried out a major crackdown, raiding 22 locations across the Valley and detained as many people as part of an ongoing probe into mule bank accounts allegedly used for cyber fraud and terror financing. Seventeen of these searches were conducted in Srinagar alone, officials said.
According to officials, the coordinated raids were executed simultaneously across multiple districts. The operation is linked to a wider cyber‑terror investigation aimed at uncovering individuals and networks suspected of funnelling illicit money through layers of mule accounts to support unlawful activities.
SSP CIK Tahir Ashraf said that, during the preliminary investigation, 22 suspects operating within the Kashmir Valley were identified and, after obtaining search warrants from the Special NIA Court, Srinagar, CIK conducted searches at 17 locations in Srinagar, 3 in Budgam, and one each in Shopian and Kulgam districts. The searches resulted in the seizure of substantial incriminating material, including digital devices and financial records critical to the investigation, he added.
So far, 22 persons have been detained for questioning to establish their precise roles and linkages with cyber frauds, illegal online gaming, betting platforms and suspicious financial transactions.
The investigation is at a nascent stage, and the evidence collected is expected to open floodgates in identifying a much wider network, both within the Union Territory of Jammu and Kashmir and across other parts of the country, the officer said.
He termed it a decisive blow to organised cybercrime and its sinister linkage with terror financing. He said, “CIK has intensified its crackdown on an extensive criminal network operating mule bank accounts to launder proceeds of cyber frauds, illegal online gaming, betting rackets and other unlawful activities.”
A CIK spokesman said that while acting on credible and specific intelligence inputs, FIR No. 06/2025 under Sections 66 (C) and 66 (D) of the Information Technology Act, 2000; Sections 303, 308, 314, 316 (2), 318 (4), 336 (3), 340 (2) and 61 (2) of the Bharatiya Nyaya Sanhita, 2023, and Section 13 of the Unlawful Activities (Prevention) Act, 1967 has been registered at Police Station CIK, “unveiling a sophisticated and well-entrenched financial crime syndicate that posed a serious threat to national economic security and digital safety”.
SSP CIK said, “Investigations, so far, have exposed a carefully orchestrated conspiracy in which accused persons, in active connivance with local and outside operatives, exploited bank accounts of innocent, vulnerable and economically weak individuals, converting them into ‘mule accounts ’”. He said that these accounts were used as temporary conduits to route massive volumes of illicit money generated from cyber frauds and online scams, banned online gaming and betting platforms and fake investment and trading applications.
"Alarmingly, the illegally generated funds are suspected to have been channelled further into terror financing and other activities prejudicial to the sovereignty and integrity of the nation,” he added.
SSP Ashraf reaffirming CIK’s “unwavering resolve” to dismantle organised criminal syndicates, choke their financial pipelines, and act firmly against all economic offences and activities that endanger national security said, “Those who misuse banking systems—whether knowingly or unknowingly—will face strict legal consequences”. He urged the public to remain vigilant, safeguard their financial credentials, and report any suspicious offers or transactions to the authorities.
A statement issued by the CIK here said that the syndicate functioned through gross violations of banking norms, abuse of KYC procedures, registration of non-existing business establishments on UDHAYAM portal subsequently used for opening of accounts, allotment of Virtual Account Numbers, identity theft, impersonation, and complex money-laundering techniques, deliberately designed to mask the origin and destination of criminal proceeds.
A mule account is a bank or digital payment account used by criminals to receive, transfer, and camouflage illegally obtained money. The account holder—known as a money mule—may be complicit, willfully ignorant, or completely unaware that their account is being misused. Mule accounts are a critical component of cyber-enabled crimes, facilitating the layering stage of money laundering by distancing the actual criminals from the victim and law-enforcement agencies. Such accounts are widely used in phishing and impersonation scams, online trading and investment frauds, fake loan apps, illegal payment gateways or online gaming and betting frauds.
Criminals typically initiate frauds through phone calls, SMS, WhatsApp or Telegram messages or social media and search-engine advertisements. They impersonate police officials, bank/RBI officers, loan agents, job recruiters or investment advisors. Common scams include: Fake online shopping offers, bogus trading and investment apps, online gaming and betting traps, “Digital arrest” threats or Fake KYC or SIM-block warnings.
Victims are coerced into transferring money via UPI, net banking or cards to so-called “safe” or “verification” accounts. In many cases, victims are tricked into sharing OTP, PINs or passwords, enabling fraudsters to take complete control of their accounts.
