Unmasking the Digital Underworld: Illegal Payment Gateways Exposed

The Union Home Ministry has alerted against illegal payment gateways operated by transnational cybercriminals, enabling money laundering through mule bank accounts. Indian police raids revealed these operations using shell company accounts. Authorities warn against renting out accounts as illicit activity can lead to legal consequences.

The Union Home Ministry has raised an alert regarding illegal payment gateways orchestrated by transnational gangs of cybercriminals. These criminals use mule bank accounts for facilitating substantial money laundering activities, according to officials.

These gateways, engineered by foreign nationals, utilize accounts of shell companies and individuals. They exploit banking facilities, such as bulk payout options, to launder money efficiently, as confirmed by recent police raids in Gujarat and Andhra Pradesh.

Codenamed gateways such as PeacePay and RTX Pay were identified as part of the scheme. Authorities advise against renting out bank accounts, warning of the serious legal ramifications associated with such activities, urging financial institutions to scrutinize account usages linked to these illegal gateways.

(With inputs from agencies.)