Recognizing that mule accounts are the lifeline of cyber fraud, the Gujarat Police decided to attack the problem at its source. Investigators gathered intelligence from the Indian Cyber Crime Coordination Center (I4C), National Cyber Crime Reporting Portal (NCRP), Coordination Portal and National Cyber Fraud Helpline 1930.
This massive data set was analyzed to identify suspicious financial activity and track the networks that facilitate cyber fraud.
To strengthen the field operation, nodal officers were appointed in each district, while dedicated support teams were deployed to investigate complaints.
At the same time, banks were directed to share data in real time, enabling investigators to quickly and accurately track suspicious transactions.
This seamless coordination between law enforcement agencies, cyber experts and financial institutions became the cornerstone of the operation’s success.
Beyond the arrests and seizures, the operation also caused notable changes in the financial transaction patterns commonly exploited by fraud networks.
Check withdrawals, a preferred method used by fraudsters to move illicit funds, saw a dramatic decline. Monthly check withdrawals fell from Rs 126 crore to just Rs 25 crore, representing a reduction of nearly 80%.
Overall, check withdrawals fell by about 75 percent after the strike. Investigators also reported a 30 percent drop in first-layer mule accounts, the accounts where the stolen money is first deposited between August and December 2025.
ATM withdrawals linked to suspicious activity saw an even sharper decline, falling by 66 percent between September and December 2025, indicating that cybercriminal networks were struggling to access and move fraudulent funds.
Officials described the figures as evidence that targeting mule accounts can significantly disrupt the operational capacity of cyber fraud syndicates.
Building on the success of ‘Operation Mule Hunt’, authorities are now gearing up for a more advanced and proactive phase of cyber crime prevention.
As per guidelines issued by the Reserve Bank of India, the Indian Payments Digital Intelligence Platform Corporation (IDPIC) is implementing an AI-based risk assessment system designed to identify suspicious financial transactions before large-scale fraud occurs.
Under the proposed system, each transaction will be categorized as low risk, medium risk or high risk, allowing banks to detect potentially fraudulent activities in real time and take immediate preventive action.
To further strengthen coordination between financial institutions, a dedicated information-sharing registry called “mulehunter.ai” has also been created, enabling banks to share information on suspicious accounts and new fraud patterns.
With ‘Operation Mule Hunt 1.0’, the Gujarat Police has not only exposed thousands of cybercrime cases, but has also demonstrated a new model of data-driven policing, one that targets the financial arteries of cybercrime rather than simply going after individual fraudsters.
Officials believe the operation marks a significant shift in India’s fight against digital fraud and sends a clear message that the networks that enable cybercriminals are now fully under the scanner.
