A cybercrime investigation in Hyderabad has led to the arrest of 2 men accused of helping a fraud network move money through multiple bank accounts and cryptocurrency transactions to hide its trail. A 3rd suspect, identified as Sachin from Bengaluru, remains absconding.
The arrested men, Mohd Ashfaq Hussain and Ahmed Najeeb Uddin, both 27 and residents of Ameerpet, allegedly arranged bank accounts, withdrew money obtained from victims and transferred it to other accounts for commissions.
According to police, a 63-year-old retired employee and his daughter lost ₹29.17 lakh after fraudsters impersonated officials from the Delhi Police, the Central Bureau of Investigation (CBI) and the Enforcement Directorate (ED). The fraudsters contacted the victim on March 3, 2025, and allegedly accused him of involvement in a ₹6.8 crore money-laundering case.
They threatened to arrest him and sent forged official documents, claiming his Aadhaar details and fingerprints had been misused in the alleged crime.
“Under the pretext of verifying their bank accounts and promising to refund the money, the fraudsters persuaded the victim and his daughter to transfer the amount. They also threatened them with arrest and instructed them to maintain secrecy, citing national security. When the money was not returned, the victim approached the police,” officials said.
During the investigation, police traced the transactions and arrested the 2 men in Ameerpet on Saturday. The duo allegedly told investigators that they had contacted Sachin through WhatsApp while facing financial difficulties.
Police said Ashfaq shared bank account details obtained from Najeeb with Sachin, who allegedly routed the fraud proceeds into those accounts. The 2 men then withdrew the money through cheques and deposited it into several accounts using cash deposit machines.
Sachin allegedly used the funds to buy USDT, a cryptocurrency stablecoin, and sold it online for Indian rupees. He reportedly paid commissions to the 2 men for facilitating the transactions.
Police seized 2 Apple iPhones from the arrested men. Investigators said the alleged network is linked to around 16 cases registered across the country.
The 2 accused were produced before a court. Police are continuing efforts to arrest Sachin.
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