Bail denied in organized cyber fraud involving mule accounts and multi-state financial transactions.

In brief

The question

Whether the applicant is entitled to the grant of regular bail under Section 483 of the Bhartiya Nagrik Suraksha Sanhita, 2023, given the stage of investigation and the nature of the allegations

The court held

The Court answered the issue in the negative, holding that the gravity of the offense and the applicant's prima facie involvement in an organized cybercrime syndicate precluded the grant of bail at this stage

It also directed

The first bail application was rejected

The Court directed a copy of the order to be sent to the trial court for compliance

01Facts

The applicant filed his first bail application following his arrest on February 8, 2026, in connection with Crime No. 33/2026

¶ 1–3

The prosecution alleged that the applicant facilitated the opening of bank accounts for others, which were subsequently misused for cyber fraud

¶ 2

Investigations by the National Cyber Crime Reporting Coordination Portal revealed that approximately ₹7 Crores were illegally transacted through these "mule accounts," with funds being transferred from victims across various states

¶ 4, sub-paras 6-7, 10

The Investigating Officer’s affidavit stated that the applicant couriered SIM cards and bank documents to associates in Rajasthan and was a direct beneficiary of the organized cybercrime syndicate

¶ 4, sub-paras 7-13

02Issues

i.Whether the applicant is entitled to the grant of regular bail under Section 483 of the Bhartiya Nagrik Suraksha Sanhita, 2023, given the stage of investigation and the nature of the allegations

¶ 1

03Law Applied

The Court considered Section 483 of the Bhartiya Nagrik Suraksha Sanhita, 2023 (BNSS), regarding the high court's power to grant bail

¶ 1

The substantive charges were under Sections 318(4) (cheating), 61(2)(A) (criminal conspiracy), and 111 (organized crime) of the Bharatiya Nyaya Sanhita, 2023 (BNS)

¶ 1

The court balanced the gravity of the offense, the potential for the accused to influence evidence or abscond, and the ongoing nature of the investigation in organized financial crimes

¶ 6

Provisions in the judgment · 4 · Linked ones open on LawLens

Bharatiya Nagarik Suraksha Sanhita, 2023 Section 483

Bharatiya Nyaya Sanhita, 2023 Section 318 Section 61 Section 111

04Reasoning

The Court evaluated the applicant’s plea of innocence and cooperation against the specific findings in the Investigating Officer’s affidavit

¶ 3-4

It noted that the transaction details revealed an organized cyber fraud network involving ₹7 Crores, where the applicant allegedly recruited "mule account" holders and managed the logistics of SIM cards and bank kits

¶ 4, sub-paras 7-10

The Court found that the applicant was a "beneficiary" of the fraud and noted the State’s concern that his release would allow him to alert associates or destroy evidence

¶ 4, sub-paras 11-13

Given that the charge-sheet had not yet been filed and the offense was serious and organized in nature, the Court determined that judicial intervention for bail was premature

¶ 6