Erumeli: A trader looking for a ₹1-crore loan was caught in a cybercrime trap after fraudsters gained access to his bank account and used it to route ₹68 lakh in transactions linked to cyber frauds.

The trader had approached the fraudsters after responding to a loan advertisement on social media, hoping to clear financial liabilities related to his business. He had no idea that his account was being used to move money allegedly obtained through cyber frauds until Erumely police, investigating another complaint, traced suspicious transactions to his account.

It was only after he was summoned for questioning that the trader learnt that several transactions involving large sums had passed through his account. Police suspect a larger racket, also involving Malayalis, behind the fraud and are investigating the network behind it. Circle Inspector M R Suresh said a detailed investigation was under way.

The loan offer that set the trap
The trader had contacted a phone number given in the social media advertisement. A man who introduced himself as ‘Sanjay’ offered him a ₹1-crore loan at 9% interest for 10 years and promised to arrange the money within 28 days. The man also told him that a few transactions would first have to be routed through his bank account, as the transactions would be monitored by the Reserve Bank of India, before the loan amount could be credited. When the trader asked whether he would have to pay tax on the money passing through his account, he was assured that tax for those transactions had already been paid.

After obtaining his bank account documents, the fraudsters sent him an app and asked him to install it. Once he installed the app, the trader stopped receiving alerts about transactions in his bank account. The fraudsters communicated with him only through WhatsApp calls, making it difficult to retain a record of their conversations.

The ₹68 lakh money trail
The extent of the misuse came to light when Erumeli police, while investigating a complaint lodged by Rajesh, who had lost ₹2.20 lakh in a cyber fraud, traced the money to the trader’s account. The trader then approached his bank for details of the transactions and found that ₹68 lakh had passed through his account, with the money being withdrawn within seconds of being credited.

The amounts that flowed through the account ranged from small sums to lakhs and came from several different bank accounts. The trader, meanwhile, also found that ₹5,000 had been withdrawn from his account and subsequently lodged a complaint with the cyber cell. Police are now probing the source of the money routed through the trader’s account.

The app that blocked bank alerts
Police suspect that getting the trader to install the app was a key part of the operation, as it prevented him from receiving bank transaction alerts on his phone. The bank has also confirmed the possibility, police said.

After realising that his account had been misused, the trader tried calling ‘Sanjay’, but there was no response. He later called from another number, and the man answered and spoke as though he was still dealing with a prospective borrower.

According to the trader, the man ended the call after learning that the police had registered a case, claiming that he was only an employee and that the bank office was in Palakkad.