New Delhi: The Central Bureau of Investigation (CBI) has registered an FIR against a branch head of Punjab & Sind Bank and 18 other individuals for allegedly opening and operating mule accounts that were used to launder and conceal proceeds exceeding ₹1,000 crore from cybercrime and other illegal activities, officials said on Friday.
The case stems from a preliminary inquiry that uncovered the opening of 13 current accounts in the names of non-existent companies at the bank’s Government Girls Senior Secondary School Branch in Sri Ganganagar, Rajasthan. Investigators found that these accounts were allegedly opened using forged and fabricated documents, including fake KYC papers, false rent agreements and other supporting records. At the time, the branch was headed by Vikas Wadhwa.
According to the FIR, the accounts were opened in criminal conspiracy with unknown bank officials, in violation of mandatory KYC norms, due diligence requirements and standard operating procedures. The agency alleged that fake site visit reports and fabricated business verification documents were prepared by bank officials to facilitate the opening of these accounts.
The CBI said all 13 firms in whose names the accounts were opened were fictitious and created solely for the purpose of operating mule accounts. These accounts were allegedly used to route, layer and transfer proceeds of cybercrime and other illicit activities through various banking channels and digital platforms.
Investigators estimate that transactions worth approximately ₹1,084 crore were channelled through these accounts. The agency further alleged that the accused derived illegal gains while causing reputational damage to Punjab & Sind Bank. It also noted that the alleged money laundering activities could expose the bank to regulatory penalties, potentially leading to financial losses.
Further investigation into the role of bank officials and other accused persons is underway.
