Hyderabad, April 21: The Hyderabad Police Commissioner, V.C. Sajjanar, has suggested significant reforms in the banking system to tackle cybercrime. He emphasized that such changes are crucial to dismantling organized crime syndicates operating across the country.
In a detailed letter addressed to Reserve Bank of India Governor Sanjay Malhotra, the Commissioner highlighted how ‘mule accounts’ created in the names of innocent individuals have become a central hub for cyber fraud.
These revelations emerged during a high-profile investigation called ‘Operation Octopus,’ conducted by the city police, which exposed serious systemic flaws and gross negligence in the KYC verification processes at the branch level.
The Commissioner urged the RBI to issue strict directives to hold branch-level officials accountable in all commercial banks. He recommended an immediate systemic audit to ensure the effective implementation of KYC guidelines on the ground.
The letter also pointed out the prevalence of such irregularities in private banks, stressing the need to address structural deficiencies. It proposed that any officer arrested or prosecuted for aiding cybercrime should be reported to the RBI for permanent blacklisting.
To further strengthen safeguards against financial crimes, the Commissioner proposed the formation of a joint task force comprising representatives from the RBI, banking institutions, and police. This group would regularly review issues related to illegal accounts.
He also emphasized the importance of adopting advanced technology by banks to detect suspicious transactions in real-time.
Alongside these systemic recommendations, Sajjanar advised the public to be cautious of fraudulent advertisements promising high returns on social media platforms like WhatsApp and Telegram.
He clarified that no law enforcement agency conducts inquiries via video calls or demands money under the pretext of a ‘digital arrest.’
My name is Narendra Jijhontiya. I am an experienced content writer with several years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including TECHNOLOGY, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
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