Chandigarh: Police uncover cyber fraud ring running from ASI’s hotel

Chandigarh Police have busted a well-oiled cyber fraud racket that was operating by using the identity documents of underprivileged people to open bank accounts and source SIM cards.
The arrest of two accused revealed that the illegal operation was running from a hotel managed by a UT police ASI.
The accused were identified as Devender Kumar Yadav, 31, and Shankar Suvan Shukla, 24, both hailing from Balrampur, Uttar Pradesh, who were running the racket from a hotel room.
Police also arrested Avinash, who helped them open fraudulent accounts at Indian Bank, Sector 17, and hotel manager, Birender Yadav, who failed to maintain proper records of the hotel customers as required by law, which helped the cyber criminals operate discreetly from the hotel. Police are looking into the possible collusion of bank personnel to facilitate the fraud.
The owner of the hotel was identified as the wife of a Chandigarh Police ASI. The hotel was reportedly leased to Birender, who managed the hotel and paid a monthly rent of ₹1.5 lakh in cash.
Paid underprivileged people up to ₹20,000 for their identity documents
According to investigators, Yadav and Shukla had been targeting vulnerable individuals, such as rickshaw drivers and locals from economically weaker backgrounds, primarily from Uttar Pradesh and Bihar. They would lure them with promises of cash payments, typically between ₹10,000 and ₹20,000, in exchange for their identity documents.
Using the documents provided by these unsuspecting individuals, the accused would open bank accounts and source SIM cards in their names. They would retain the account kits, including checkbooks and ATM cards.
The SIM cards and bank accounts were then used to carry out various types of cyber fraud, such as online trading and investment scams. The bank accounts were also sold to other criminals for similar fraudulent activities. Both Yadav and Shukla claimed they were in Chandigarh for training in trading and share markets. Police said the duo had been living at the hotel for the past 20 days.
Investigation into the racket began on August 11, when the Cyber Crime police station was tipped about illegal activities being carried out in the hotel room.
Upon receiving the information, a police team reached the hotel, where the manager failed to produce any entry records of the customers staying in the room, in violation of the orders issued by the district magistrate. The team proceeded to raid the room, and found Yadav and Shukla. On searching the room, police recovered seven bank accounts, a laptop, three mobile phones, SIM cards, ATM cards and various checkbooks.
Based on the evidence collected, a case under various sections of BNS, including 319 (2), 318 (4), 338, 336 (3), 340 (2), 61 (2), 111 (2) and 111(3) was registered at the Cyber Crime police station.