The Central Bureau of Investigation (CBI) has exposed an international cyber fraud syndicate involving more than Rs. 1,000 crore and has filed a chargesheet against 17 accused, including four Chinese nationals, and 58 companies, officials confirmed on Sunday.

According to the CBI, the network was uncovered in October and was found to be a well-organised syndicate that used complex digital and financial structures to carry out large-scale fraud across India.

MODUS OPERANDI: The gang allegedly operated through deceptive loan applications, fake investment schemes, Ponzi and multi-level marketing models, fraudulent part-time job offers, and bogus online gaming platforms. The final investigation report revealed that illegal funds were routed through 111 shell companies and multiple “mule” bank accounts, facilitating transactions worth nearly ₹1,000 crore. One such account reportedly received over ₹152 crore within a short span.

The CBI stated that the foundation of the fraud was laid during the COVID-19 pandemic in 2020, a period when people were facing severe economic and social distress. The shell companies were registered using dummy directors, forged documents, fake addresses, and false business affidavits.

The agency identified four Chinese nationals—Zhou Yi, Huan Liu, Weijian Liu and Guanhuahua Wang—as key masterminds who allegedly directed the establishment and operation of these companies.Investigations further revealed that Indian associates of the Chinese operators procured identity documents of unsuspecting individuals to open shell companies and bank accounts. These accounts were then used to launder and divert proceeds of crime.

The CBI said it has gathered substantial evidence, including communication links and operational controls, indicating that the cyber fraud network was operated from abroad with significant involvement of Chinese masterminds.